Information on current Russian losses due to sanctions as of 11/04/2026.
1. Ukrainian drones attacked one of the largest Ozon logistics centers in southern Russia.
– Ukrainian drones attacked the Republic of Adygea in southern Russia on the night of November 4. As a result of the strike, a fire broke out at the logistics complex of the Ozon marketplace in Adygeysk. Ozon reported a temporary suspension of the warehouse. The warehouse will not receive new deliveries from sellers, and goods already en route will be redirected to other facilities.
– The logistics center in Adygeysk is one of the largest in the southern region of Russia. Its area is 92,000 square meters, with a capacity exceeding 10 million products. The stoppage of the complex resulted in a significant loss of warehouse capacity in the region for the company, creating additional pressure on other centers and posing a threat of delays and cancellations of orders.
– This same facility was previously attacked on August 24, when a fire also broke out on its territory.
2. Russia increased oil exports during a pause in Ukrainian attacks.
– Four weeks before November 1, Russian crude oil exports rose to 3.65 million barrels per day — 60,000 barrels more than the previous period. The increase in supplies occurred during nearly a two-week pause in Ukrainian attacks on Russian refineries.
– The resumption of refinery operations allowed some crude to be redirected to domestic processing, but export flows still increased.
– At the end of last week, Ukrainian Defense Forces resumed attacks, targeting at least four refineries — in Novokuibyshevsk, Ufa, Kstovo, and Yaroslavl. This again poses risks for Russian refining: damage to plants forces oil to be rerouted for export, reduces fuel production, and increases the industry’s dependency on government support.
– Additional income for Russian oil producers was ensured by a sharp rise in crude prices due to escalating tensions in the Middle East. The average price of Urals in October reached $101.46 per barrel — the highest level since July 2014. This is 10% higher than in September and 89% higher than a year ago. For the four weeks leading up to November 1, gross revenue from maritime exports amounted to $10.6 billion — a record for the duration of the full-scale war.
– However, high prices do not solve the problems of the Russian budget. Despite Urals being nearly twice as expensive as the budgeted $59 per barrel, the state continues to return significant amounts to oil companies through subsidies. In September, oil producers received 305 billion rubles via the damping mechanism, and total support for refining reached a record 419 billion rubles. Thus, part of the extra profits from expensive energy resources is absorbed by expenses for supporting an industry suffering from Ukrainian attacks.
– The increase in exports and prices temporarily boosted Russia’s foreign currency income but did not eliminate the vulnerabilities of its oil system: refinery operations depend on the ability to avoid new strikes, and the budget is forced to spend hundreds of billions of rubles to support the refiners.
3. Democrats gained control of both houses of the U.S. Congress, dealing a serious political defeat to Trump.
– The Democratic Party of the United States won a majority in both the Senate and the House of Representatives following the midterm elections on November 3. Democratic candidates triumphed even in states that traditionally supported Republicans, including Texas, South Carolina, and Iowa.
– The election results marked a massive defeat for Donald Trump’s party and weakened its control over federal power. One of the main reasons for voter dissatisfaction was the economic policy of the Trump administration.
– Americans were concerned about the rising cost of living and fuel prices, which accelerated after the start of the war against Iran. According to SSRS exit polls, about half of the voters viewed the election as an opportunity to express disagreement with the president’s policies, and approximately three-quarters stated that they were angry or dissatisfied with the direction the country was heading.
– The Democratic wave also swept through states where Republicans previously held a significant advantage. Notably, Democrats secured victories in Senate races in Texas, South Carolina, Iowa, and Kansas. They also took several seats from Republicans in the House of Representatives. Commenting on the results, Trump stated on social media that his name was not on the ballots, and if he had run, Republicans would have allegedly achieved a “stunning victory.”
– Meanwhile, losing the majority in both chambers will significantly complicate the advancement of his legislative agenda. Democrats will gain control over the Congressional agenda and the ability to enhance oversight over the president’s administration, conduct investigations, and block some of his initiatives.
– The new Congress will start its work in January 2027. Until then, Republicans will maintain formal control over both chambers.
4. New Jersey Governor urged ports to reject Russian diesel allowed by Trump administration.
– New Jersey Governor Mikie Sherrill called on the state’s port and terminal operators not to accept tankers carrying Russian diesel fuel, the import of which was permitted by Donald Trump’s administration. According to her information, at least one tanker with such cargo might be heading to the state.
– In a letter to port operators, Sherrill stated that the OFAC license dated October 9 contradicts the federal law of 2022, which prohibits the import of Russian petroleum products following Russia’s invasion of Ukraine. She urged turning away tankers and promised to use the state’s powers to block the import of fuel.
– Companies involved in bringing in Russian diesel face fines that could equal the full value of the cargo — potentially millions of dollars. Sherrill accused Trump of allowing Russian fuel back into the American market, creating an additional revenue source for Moscow and aiding in funding its war against Ukraine.
– The conflict over the license demonstrates that even decisions by the federal administration to ease restrictions can face resistance at the state level and create legal risks for importers and port operators.
5. A consortium led by American billionaire Todd Boehly is preparing a deal to acquire Lukoil’s international assets.
– The agreement provides for the exchange of frozen securities of the Russian company in the West for its foreign business. The bank acting on behalf of the consortium has already bought out securities of “Lukoil” from Western investment funds worth billions of dollars. The shares were sold for about 30 cents on the dollar — with a discount of about 70%, reflecting their depreciated attractiveness due to sanctions.
– The securities were purchased from about ten American and British funds, as well as depository banks that held them for private investors. The consortium, besides Boeli, includes Emirati investors International Holding Company and Al Hail Holding, Syrian-Qatari Al-Khayyat brothers, and the American Development Finance Corporation (DFC).
– Lukoil’s foreign portfolio includes oil production assets, refineries, and gas stations in Europe, the Middle East, and Africa. Initially, its value was estimated at about $22 billion, but it has decreased as some assets have ceased operation.
– Thus, the Russian company not only loses control over its international business but also part of its value. The deal may conclude the sale process that has been ongoing for over a year.
– For Lukoil, this means a forced exit from foreign markets and the loss of assets that ensured oil production, processing, and distribution outside of Russia.
– Sanctions effectively deprive one of Russia’s largest oil companies of the ability to fully manage its international business and force it to settle its assets, which have already decreased in value.
6. Hungary will refuse Russian gas by autumn 2027.
– Hungary plans to stop purchasing Russian natural gas by autumn 2027. This was stated by the country’s foreign minister, Anita Orban, in an interview with Telex. According to her, the European Union has set a clear deadline for giving up Russian gas — autumn 2027.
– Budapest is also preparing to give up Russian oil supplied by Rosneft and Lukoil. For this, Hungarian oil and gas company MOL needs to upgrade refineries to process raw materials from other sources.
– According to the EU plan, the import of Russian LNG will be banned from January 1, 2027, and pipeline gas from September 30 of the same year. Short-term contracts for the purchase of Russian gas are already prohibited. Hungary remains one of the last major buyers of Russian gas in the European Union.
– Meanwhile, the country is already seeking alternative supply sources: earlier Budapest considered importing gas from Turkmenistan and signed a contract with French Engie for the supply of 4 billion cubic meters of LNG from 2028 to 2038.
– Hungary’s refusal of Russian gas will be another loss for Gazprom in the European market, which prior to Russia’s full-scale invasion of Ukraine, was one of the key directions of its export.
7. The Chinese bank helped Russia and Iran bypass sanctions and pay for dual-use goods purchases.
– The Chinese Zhejiang Chouzhou Commercial Bank (ZCCB) has become one of the key channels for financial transactions between Russia and Iran with Chinese suppliers, circumventing Western sanctions. The bank processed payments for civilian goods and products that could be used for military purposes, particularly in the defense industry and drone manufacturing.
– ZCCB has been repeatedly mentioned in reports by American officials regarding suspicious financial flows from Russia and Iran. Specifically, the bank received payments through A7 — a Russian sanctions evasion network that the U.S. Treasury recognized in early October as a significant transnational criminal organization.
– Documents indicate that among approximately 3500 transactions with A7, ZCCB most frequently acted as the recipient bank. One example is the purchase of 40 tons of molybdenum trioxide for about $1.5 million in February 2025. This compound is used to produce heat-resistant alloys, including those used in armored vehicles and rocket engines. The payment to the Chinese supplier was to be sent to an account at ZCCB via a company in Kyrgyzstan that U.S. officials associate with the A7 network of shell companies. The shipment was planned to be transported from China to St. Petersburg.
– After the full-scale war began, ZCCB caught the attention of U.S. authorities due to operations involving the Russian defense industry. In December 2023, the Joe Biden administration warned foreign banks about the risk of sanctions for financing the Russian military-industrial complex. ZCCB stated that it ceased direct relations with Russian clients following this, but A7 documents indicate the resumption of indirect payments in 2024 through intermediaries in Kyrgyzstan and other countries.
– Washington has so far refrained from sanctioning ZCCB, fearing deteriorating relations with Beijing and potential consequences for the Chinese financial system. The bank itself stated that it has initiated internal checks and cannot confirm the Russian origin of the relevant funds.
8. Five European countries refused to play against Russia in the 2027 World Ice Hockey Championship.
– Sweden, Norway, Finland, Denmark, and Latvia have opposed the return of the Russian team to international hockey tournaments. The five countries stated they would not play with the Russians while the war against Ukraine continues. In Latvia, participation in such matches is additionally prohibited by national legislation.
– The protest was triggered by a decision from the Court of Arbitration for Sport (CAS), which upheld Russia’s appeal and ordered the International Ice Hockey Federation (IIHF) to reinstate it in international competitions. The federation had previously extended the suspension of Russian and Belarusian teams for the 2026/27 season due to security risks.
– Finland intends to rally other countries to join the boycott and seek a review of Russia’s admission at an IIHF leadership meeting. Canada and the Czech Republic have also opposed its return. Germany, which is set to host the World Championship in 2027, is reconsidering its position on holding the tournament with the participation of the Russian team. The leadership of the German Ice Hockey Federation does not rule out refusing to organize the event.
– Thus, the CAS decision does not yet guarantee Russia a full return to the international hockey arena: it has already led to a boycott by European teams, put the hosting of tournaments in question, and created the risk of losing sponsorship support.
