G7 tightens Russia sanctions, looks to cut China trade reliance
Last edited Fri May 19, 2023, 02:05 PM - Edit history (2)
Source: Reuters
HIROSHIMA, Japan, May 19 (Reuters) - Leaders of the world's richest democracies acted on Friday to stiffen sanctions against Russia, while a draft communique to be issued after their talks in the Japanese city of Hiroshima stressed the need to reduce reliance on trade with China.
The Group of Seven (G7) leaders, to be joined this weekend by Ukrainian President Volodymyr Zelenskiy, pledged to restrict any exports to Russia that could help President Vladimir Putin's invasion of his neighbour and to stop sanctions-busting. "Today’s actions will further tighten the vice on Putin’s ability to wage his barbaric invasion and will advance our global efforts to cut off Russian attempts to evade sanctions," U.S. Treasury Department Secretary Janet Yellen said in a statement accompanying a raft of new U.S. measures.
A statement issued by G7 leaders said restrictions would cover exports of industrial machinery, tools and technology useful to Russia's war effort, while efforts would be pursued to limit Russian revenues from trade in metals and diamonds. On China, which G7 powers increasingly see as a threat to economic security, they were to agree that its status as the world's second largest economy necessitated efforts to foster cooperation, an early draft of the final communique seen by Reuters said.
"Our policy approaches are not designed to harm China, we do not seek to thwart China's economic progress and development," noted the draft, which is still subject to change, calling for "stable and constructive" ties with Beijing. The draft nonetheless urged measures to "reduce excessive dependencies" in critical supply chains and counter "malign practices" in technology transfer and data disclosure. It reaffirmed the need for peace in the Taiwan Strait and urged China to press Russia to end aggression in Ukraine.
Read more: https://www.reuters.com/world/g7-leaders-reckon-with-ukraine-haunted-by-hiroshima-nuclear-legacy-2023-05-18/
Article updated.
Previous articles/headlines -
HIROSHIMA, Japan, May 19 (Reuters) - Leaders of the world's richest democracies agreed on Friday to stiffen sanctions against Russia, while a draft communique to be issued after their talks in the Japanese city of Hiroshima stressed the need to reduce reliance on trade with China.
The Group of Seven (G7) leaders, who will be joined this weekend by Ukraine's President Volodymyr Zelenskiy, vowed to restrict any exports to Russia that could help it in its 15-month war against Ukraine. "This includes exports of industrial machinery, tools, and other technology that Russia uses to rebuild its war machine," they said in a joint statement released on Friday, adding they would pursue moves to restrict Russian revenues from trade in metals and diamonds.
On China, which the G7 powers see increasingly as a threat to economic security, they were to agree that its status as the world's second-largest economy meant there was no alternative to seeking cooperation, an early draft of the final communique seen by Reuters said. "Our policy approaches are not designed to harm China, we do not seek to thwart China's economic progress and development," the draft, which is still subject to change, said.
The draft nonetheless went on to urge measures to "reduce excessive dependencies" in critical supply chains and counter "malign practices" in technology transfer and data disclosure. It also reaffirmed the need for peace and stability in the Taiwan Strait and also urged China to press Russia to stop its military aggression of Ukraine.
Original article/headline -
HIROSHIMA, Japan, May 19 (Reuters) - Leaders of the world richest democracies agreed on Friday to stiffen sanctions against Russia and pledged financial support for Ukraine as its president, Volodymyr Zelenskiy, prepared to join them in the Japanese city of Hiroshima. The Group of Seven leaders are also expected to address growing tension between their economies and China during their summit that runs until Sunday. Officials said Zelenskiy would attend in person over the weekend.
The leaders said in a joint statement existing measures against Russia would be broadened and any exports that could help it in its 15-month war against Ukraine would be restricted across the G7 countries. "This includes exports of industrial machinery, tools, and other technology that Russia uses to rebuild its war machine," they said in a joint statement, adding that efforts would continue to restrict Russian revenues from its trade in metals and diamonds.
Amid evidence that existing sanctions were being weakened by circumvention, they said the group was "engaging" with countries through which any restricted G7 goods, services or technology could transit through to Russia. "We note and encourage commitments made by these countries to ensure our measures are not circumvented and have the intended effect," they said, without naming any territories.
Breakdowns of German trade data show that its exports to countries bordering Russia have risen sharply, fuelling concerns that about (sic) the re-exportation of goods from those neighbouring states. The group of rich democracies reaffirmed their condemnation of what they called Russia's aggression and promised further support for Ukraine, in terms of military help and financial aid for its war-shattered economy this year and next.
