Japan Slaps Sanctions on Russia, Targets Garantex and Shadow Fleet Vessels

The Japanese government has expanded its sanctions against Russia, targeting the country's ongoing war in Ukraine. The new measures include an asset freeze list that restricts payments and capital transactions with the targeted parties, according to a joint statement from Japan's Ministry of Foreign Affairs, Ministry of Finance, and Ministry of Economy, Trade, and Industry.

The list now includes 33 organizations and nine individuals linked to Russia, as well as 35 vessels identified as part of the so-called 'shadow fleet' that carries Russian oil and helps Moscow evade existing sanctions. The measures also restrict services such as repairs and insurance to cover the designated vessels.

Garantex, a Russian cryptocurrency exchange, has been added to the asset freeze list, along with other organizations and individuals. Garantex was previously sanctioned by the US, EU, and other jurisdictions for helping Russian entities evade financial restrictions.

The Japanese government aims to help reduce Russia's earnings from crude oil exports through the sanctions. However, a report from blockchain intelligence firm TRM Labs suggests that entities like Garantex may be able to skirt the impact of the sanctions by preparing contingency plans in advance.