Topics impacted

On 23 July 2026, the Council of the European Union adopted a decision expanding restrictive measures against Belarus, adding new export bans on military-enhancing items and import restrictions on revenue-generating goods, and tightening ownership rules for crypto-asset service providers. The new measures target nickel powders, beryllium powders, UAV-specific components, and flight termination systems for drones or missiles, while import bans now cover copper ores, nickel ores, lead ores, precious-metals ores, unwrought zinc, alkaline-earth metals, zinc oxides, chromium oxides, tall oil, glassware, and car parts. The decision also introduces a derogation for internet infrastructure, allowing competent authorities to authorise export of certain telecommunications equipment for civilian use, and a transitional period for specific goods under contracts concluded before the decision's entry into force. From one month after entry into force, Belarusian nationals or residents are prohibited from owning, controlling, or holding governing body posts in any EU-incorporated entity providing crypto-asset services as defined under Regulation (EU) 2023/1114. A Hungarian import exemption for certain hydrocarbons applies from 26 January 2026 until 31 December 2026, provided goods are for exclusive use in Hungary. The decision builds on previous rounds of EU sanctions against Belarus in response to the situation in the country and its involvement in Russia's aggression against Ukraine, with no prior coverage of this specific amendment in the last 180 days. The new restrictions aim to further limit Belarus's ability to support Russia's military efforts and to reduce revenue streams for the Belarusian regime. The export bans on UAV-related items and flight termination systems are particularly notable for their potential impact on the defence sector, while the import bans on ores and metals target key industrial exports. The crypto-asset service provider ban extends existing restrictions on wallet, account, and custody services that have been in place since 26 March 2025, now preventing Belarusian nationals from holding ownership or governance roles in EU-based crypto firms. The derogation for internet infrastructure equipment is intended to support civilian communications networks without aiding military capabilities. The transitional period for certain goods, including glassware and car parts, allows for the execution of existing contracts for up to three months after the decision's entry into force. The exemption for services provided to Belarus does not apply to nationals of EU member states, EEA countries, or Switzerland, nor to persons with residence permits in those countries.

The decision is expected to impact Belarusian exporters of ores and metals, EU importers of those goods, and EU-based crypto-asset service providers that may need to adjust ownership structures. The Hungarian import exemption reflects a specific national interest, while the overall package tightens the EU's sanctions regime against Belarus.

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