05 December 2023
Ukraine is putting pressure on Greek owners of shipping companies to stop trading with Russia, resulting in a decline in the share of Greek tankers transporting Russian oil. Learn more in this article.
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Greek Ship Owners Added to Ukraine’s Sanctions List
The Ukrainian government’s ongoing conflict with Russia has spilled over into the maritime industry, putting pressure on Greek ship owners who continue to trade with Russia. As part of its efforts to enforce sanctions against Russia, the Ukrainian government has added several Greek shipowners to its “War and Sanctions” web portal, a list of potential candidates for sanctions.
Among the Greek ship owners added to the list are George Economou’s TMS Tankers, George Prokopiou’s Dynacom Tankers, Andreas Martinos’s Minerva Marine, Nikolas Maritnos’s Thenamaris, and Diamantis Diamantidis’s Delta Tankers. In addition, three high-level individuals from the Liberian Registry have also been added to the list.
Sanctions Take a Toll on Greek Tanker Trade
The War and Sanctions portal was launched in April of last year and is designed to highlight people and corporations that have already been sanctioned since the beginning of the war with Russia, as well as to suggest further candidates for sanctions. The site uses Refinitiv as a data provider.
As a result of the pressure, the share of Greek tankers taking oil out of Russia fell to 40% last month from a peak 61% in April 2022, according to data from the International Institute of Finance. However, Greek ship owners have repeatedly criticized the ineffectiveness of sanctions, with the topic forming much of the debate at last year’s Posidonia conference in Athens.
Greek and other foreign owners are allowed to transport crude and products out of Russia under an agreed price cap. Despite the price cap, many owners have found it difficult to navigate the complex regulatory landscape surrounding sanctions and have been hesitant to take on the risks associated with trading with Russia.
Complexities of Sanctions & the Shadow Fleet
One of the most pressing questions in shipping these days is the size of the so-called dark or shadow fleet. Particularly, a vast array of tankers that travel the world’s oceans under the radar, trying to avoid sanctions. The shadow fleet is a major concern for many governments, as it makes it difficult to enforce sanctions and prevent the movement of goods to embargoed countries.
According to Braemar, the grey fleet is estimated to be above 400 vessels. The difficulty of tracking the movements of these vessels underscores the challenge of enforcing sanctions in the shipping industry.
Greek Ship Owners in Shipping
Despite the challenges posed by sanctions and the shadow fleet, Greek ship owners continue to play a significant role in the global shipping industry. Their expertise and experience make them valuable partners for companies around the world, and their ability to navigate complex regulatory environments has made them some of the most successful shipowners in the industry.
Uncertainty amid Ukraine-Russia Conflict
As the conflict between Ukraine and Russia continues, it remains to be seen how the situation will evolve and what impact it will have on the shipping industry. However, it is clear that the pressure on Greek ship owners to stop trading with Russia is unlikely to abate anytime soon. As the industry continues to grapple with the complexities of sanctions and the shadow fleet, it is more important than ever for companies to work together to ensure compliance and mitigate risk.
A vessel of the Greek shipping firm Latsco Marine Management has been honored with a special recognition from the IMO.