EU excludes Kazakhstan from new Russia sanctions package amid strong trade ties

EU excludes Kazakhstan from new Russia sanctions package amid strong trade ties
European Union flags flutter outside the EU Commission headquarters in Brussels, Belgium July 16, 2025. REUTERS/Yves Herman/File Photo
Reuters

The European Union will not include Kazakhstan in its upcoming 20th package of sanctions against Russia.

EU Special Representative for International Sanctions, David O’Sullivan, confirmed the exemption during his fifth visit to Astana.

The new package, currently under discussion in Brussels, aims to increase pressure on Moscow by tightening financial restrictions and strengthening export controls. It also focuses on closing loopholes used to circumvent existing measures.

O’Sullivan stressed that the EU has not identified any new concerns regarding Kazakhstan and has no immediate plans to take action against the country.

Energy and trade partnership

O’Sullivan described Kazakhstan as a key partner for the European Union, noting that annual bilateral trade has reached nearly €45 billion. The EU remains the country’s largest trading partner and its biggest source of foreign direct investment.

This partnership is particularly evident in the energy sector, where Kazakh oil accounts for approximately 11 per cent of the EU’s energy needs. The crude continues to flow to Europe without restrictions, using the Druzhba pipeline to reach Germany despite earlier UK sanctions on the Russian-operated route.

Regional compliance

The EU envoy highlighted ongoing attempts by Russian banks to establish alternative transaction routes through third countries after being cut off from European financial systems. While calling for continued vigilance, he noted that Kazakhstan’s banking sector has demonstrated a high level of compliance.

The situation differs elsewhere in the region. Following visits to Kazakhstan, Kyrgyzstan and Uzbekistan, EU officials reported signs of trade flows being redirected towards Russia, particularly through Kyrgyzstan.

Brussels has warned that additional measures may be considered if these regional trends continue.

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