Diplomacy
Ukrainian President Volodymyr Zelenskyy told the WSJ’s CEO Council Summit Ukraine wants a full restoration of its territory and expects Russia to pay Ukraine reparations. He also warned that companies remaining in Russia are “directly supporting [Russia’s] war machine.” Zelenskyy also said he has no desire to end up in a frozen conflict.
Sanctions
The EU proposed its sixth round of sanctions, which will still be subject to approval by all 27 states. The round includes listing high-ranking military officers and other individuals that committed war crimes in Bucha, unplugging Sberbank and two other banks from SWIFT, banning three Russian state-owned broadcasters from EU airwaves, and a ban on Russian oil imports. Additional potential measures include a ban on Russians from buying European real estate, a ban on insuring Russian oil shipments, and sanctions on the head of the Russian Orthodox Church and Belarusian potash companies. As expected, the oil ban is proving thorny. Slovakia and Hungary don’t support it, though they may get an exemption. The Czech Republic wants an exemption too.
The UK announced additional sanctions. This includes a ban on Russia from using British management consulting, accounting, and public relations services and sanctions on additional individuals and entities it determined are part of Russia’s disinformation campaign. The UK also implemented a one-year suspension of all tariffs and other barriers on Ukrainian imports.
Australia sanctioned 110 additional Russians.
Consequences
Draft Russian regulations would allow companies connected to sanctioned individuals or entities to conceal their information, which could complicate audits and oversight.
China’s independent refiners are buying Russian oil at steep discounts.
Shipping giant Maersk announced it has stopped all vessel operations in Russia and service with Belarus and winding down all other operations. It also said it lost $700 million in Q1 due to the Russia conflict. BP lost $25.5 billion due to its exit from Russia. BASF is weighing splitting off its Russian assets.
Ukraine Sitrep
The Pentagon says that Russia’s advance south of Izyum has “stalled.” Mariupol’s mayor said he has lost contact with Ukrainian forces that have been holding out at a steel plant after Russian forces stormed the facility yesterday.
Bulgaria approved a measure to permit repair of damaged Ukrainian equipment.
An AP investigation suggests that as many as 600 civilians died in the Mariupol theater that was bombed by Russia on March 16.
A reporter detailed his experience after being captured by Russian forces and held for two weeks.
Moldova Sitrep
The EU is considering “significantly increasing” military support to Moldova.