EU proposes of sanctions new package on Russia

New ban on imports will cost Moscow $9.75b, says chief of bloc's executive arm

The European Union has proposed a new package of sanctions on Moscow, including tighter trade restrictions, more individual blacklistings and an oil price cap for third countries.

European Commission president Ursula von der Leyen said the EU will propose a "sweeping" new import ban on Russian products that would cost Moscow €7 billion (S$9.75 billion) in revenues, as well as prohibit the sale of key technologies that could benefit its military.

"We are determined to make the Kremlin pay for this further escalation," she said, referring to a partial mobilisation announced by Russia and widely condemned referendums on annexation that were held in Ukrainian territory Moscow is occupying.

The proposal will now go to the bloc's member countries, which will need to overcome differences on the new sanctions and reach unanimity to implement them.

The United States is working with allies and partners to quickly impose severe economic costs on Moscow over the referendums, according to remarks from the US State Department's head of sanctions coordination on Wednesday.