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Russian rare earth metal supplier excluded from new EU sanctions package at Estonia's request

The largest sanctions package, which the European Union prepared against Russia, will have two fewer positions than originally planned. RFE/RL journalist Rikard Jozwiak reported that after Estonia's intervention, one legal entity and one natural person were excluded from the list. Who exactly — is not named.

Illustrative photo. Photo: vecteezy.com

"1 company and 1 person were actually excluded from the original draft at Estonia's request. This refers to a company that supplies rare earth metals to Estonian Silmet, which uses this material for the production of wind turbines, etc. The company is looking for alternative supply sources," Jozwiak wrote.

The extraction and processing of rare earth metals in Russia are carried out by companies associated with the state corporation "Rosatom", such as Solikamsk Magnesium Plant, "Rosatom Nedra" and others, as well as a number of independent enterprises.

The Association of Producers and Consumers of Rare and Rare Earth Metals includes 17 companies (joint-stock companies and limited liability companies), "which have production for the extraction and processing [of these metals] and products based on them, obtaining materials for their extraction, manufacturing equipment".

On October 7, EU country ambassadors agreed on the 22nd sanctions package. 1646 organizations and individuals were included in the blacklist. The vast majority of them are connected with the Russian military-industrial complex, but 77 people are also planned to be punished for participating in the elections to the Russian State Duma from the occupied Ukrainian territories. There has not yet been such a large-scale expansion of the list. The new package is planned to be finally approved on Monday.

Kerstin Lepik, spokeswoman for Estonia's representation in Brussels, confirmed to ERR that one Russian company and a "related individual" were excluded at Tallinn's request. According to Lepik, this company supplies Silmet with "materials of strategic importance for European industries", including for the production of electric vehicles and wind turbines, as well as for the "electronics, automotive and aviation industries throughout the European Union".

Lepik also stated that Silmet is actively seeking alternatives to supplies from Russia, adding:

"Estonia will review the inclusion of this Russian company and individual in the sanctions list next year."

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