Sanctions are timely. 14.07.2026

Sanctions are timely. 14.07.2026
Volodymyr Omelyan

Information on current losses of the Russian Federation due to sanctions as of 07/14/2026.

1. Ukrainian drones attacked one of the largest refineries in Russia in Bashkortostan.

– In the city of Salavat (Republic of Bashkortostan), Ukrainian drones attacked the “Gazprom Neftekhim Salavat” oil refinery complex. The enterprise is located approximately 1,400 km from the Ukraine-controlled section of the border.
– According to eyewitness reports, a series of explosions occurred on the plant’s territory. Videos published on social media showed thick smoke over the industrial site. “Gazprom Neftekhim Salavat” is among the largest oil and petrochemical enterprises in Russia.
– In 2024, the refinery processed 7.2 million tons of oil feedstock, accounting for about 2.7% of Russia’s total oil refining. This is not the first attack on the enterprise.
– In September 2025, Ukrainian drones struck the refinery twice, with reports of a fire at the primary oil processing unit.

2. In Russia, due to drone attacks, a fourth major refinery has ceased operations since the beginning of July.

– The Syzran refinery of “Rosneft” completely halted oil processing following a drone attack on July 12. The strike damaged the primary processing unit AVT-5, which provided about 29% of the enterprise’s production capacity. The second, more powerful unit AVT-6, which provides 71% of the plant’s capacity, has not operated since late May after a previous drone attack.
– Following the complete shutdown, the enterprise also ceased the sale of oil products on the Saint Petersburg Commodity and Raw Materials Exchange.
– The Syzran refinery has a design capacity of 8.5 million tons of oil per year and annually produces about 800 thousand tons of gasoline and 1.5 million tons of diesel fuel.
– Since the beginning of July, this is the fourth major Russian refinery to cease operations due to Ukrainian drone attacks. Previously, the Saratov “Rosneft” refinery, the Omsk refinery — the largest in Russia, and “Nizhnegorodnefteorgsintez” of the company “Lukoil,” which is the second-largest gasoline producer in the country, were shut down.

3. Strikes on refineries have brought oil refining in Russia to its lowest level in two decades.

– The volume of oil processing at Russian refineries in July fell to its lowest since 2005. In the first weeks of the month, refineries processed only 3.91 million barrels of oil per day — 27% less than a year ago and 30% below pre-war levels in 2021.
– Over the past 100 days, Ukrainian drones have attacked Russian refineries around 50 times, hitting at least 24 out of the 34 largest refineries. The strikes affected not only enterprises in the European part of Russia but also refineries beyond the Urals, including the Omsk refinery, located approximately 2,500 km from the Ukrainian border.
– Energy Intelligence analysts estimate the current level of oil processing even lower — around 3.58 million barrels per day, which may be the lowest indicator since at least 2002.
– Currently, capacities with a total productivity of about 3.1 million barrels per day are idle, and the timing of their recovery remains unknown. The shortage of oil products in the Russian market is estimated at 400–600 thousand tons per month.
– Imports from Belarus and Kazakhstan can compensate for only about half of this volume, increasing the risks of further exacerbating the fuel crisis.

4. The diesel shortage threatens summer road repairs in Russia.

– The summer road repair campaign in Russia is under threat of disruption due to the sharp rise in the cost of diesel fuel and bitumen. In the second quarter, wholesale diesel prices for road companies increased by 75.8%, and bitumen became 45.5% more expensive.
– Due to rapidly rising costs, contractors cannot offset the increase within already concluded state and municipal contracts, forcing them to reduce the scope of repair work.
– The industry has already appealed to the government to compensate for part of the costs associated with the price increase of diesel fuel and bitumen, and also to ensure priority fuel supplies for road companies during peak demand.
– Problems with road repairs have become another consequence of the fuel crisis, which escalated after massive attacks on Russian refineries and the reduction of oil product production.

5. Trump to support a bill on 500% tariffs for buyers of Russian energy resources.

– US President Donald Trump will support a bipartisan bill on new tough sanctions against Russia, developed by Republican Senator Lindsey Graham.
– The document gives the US president the right to impose tariffs of 500% on imports from countries that continue to buy Russian oil, natural gas, and uranium. If adopted, the bill could significantly increase economic pressure on Russia, complicating its energy exports to key buyers.
– Trump’s support came after the administration had already signaled willingness to approve the initiative, but the president’s own position remained unclear.
– Senate Republican Majority Leader John Thune stated that the White House actively participated in finalizing the bill and expressed hope for its swift adoption with support from both parties.

6. The EU failed to agree on a new package of sanctions against Russia and maintain the current oil price cap.

– The European Union was unable to agree on the 21st package of sanctions against Russia due to differences among member states. Disputes arose over restrictions on the transportation of Russian LNG and measures concerning Austria’s Raiffeisen Bank International.
– Due to the delay, the mechanism of the price cap on Russian oil is also under threat. EU countries were unable to agree on freezing the current floating limit at $44.10 per barrel.
– If a decision is not made, after the review period expires, the price cap may increase due to rising global oil prices, potentially weakening one of the key instruments of pressure on Russia’s oil revenues.
– Despite the lack of compromise on the main package, EU ministers agreed on a separate sanctions list, which will include an additional 250 banks, cryptocurrency operators, and tankers related to Russia.
– EU chief diplomat Kaja Kallas stated that negotiations on the 21st package are in the final stages, but she could not guarantee that a decision on the Russian oil price cap would be made before the review period ends.
– She emphasized that the EU continues to work towards a compromise, although alternative courses of action are being prepared in parallel.

7. China is preparing for the post-Putin era, while Russia’s dependence on Beijing only increases.

– China is increasingly building ties not only with Putin’s close circle but also with Russian officials and elites who may shape the country’s future after a power change.
– The war against Ukraine and the break with the West have rendered Russia a junior partner to China. Beijing is confidently leveraging Moscow’s economic and political dependence to advance its interests while preparing for a possible power transition.
– A striking example of the shift in power balance was the negotiations on the “Power of Siberia-2” gas pipeline. During Putin’s visit to Beijing, the Chinese side refused to agree to the project unless Russia sold gas at prices close to domestic Russian ones.
– Essentially, China proposed that the Kremlin subsidize supplies, and after refusal, indicated that it was not worth revisiting this topic. Russia increasingly records cases of Chinese espionage and recruitment of mid-level officials.
– However, Moscow is reluctant to publicize these incidents for fear of deteriorating relations with Beijing. China is steadily reinforcing its influence in other areas as well.
– After years of resistance, Moscow agreed to support establishing the SCO Development Bank with a dominant role for the Chinese yuan — a concession Russia previously avoided out of fear of losing influence in Central Asia.
– Meanwhile, Beijing is increasingly showing that it is not ready to follow Kremlin’s foreign policy initiatives. China rejected Putin’s proposal to hold a trilateral summit with North Korea and also forced the Russian president to change his overseas tour itinerary to avoid the impression of forming an “axis of autocracies.”
– China’s strategy has long surpassed personal relations with Putin. Beijing is gradually preparing for a future beyond the current Russian leadership, as Russia’s dependence on China deepens and the Kremlin’s ability to assert its own terms rapidly diminishes.

8. Ukraine opens a new front in the Sea of Azov, intensifying the fuel crisis in Russia.

– Ukrainian drones have launched a large-scale campaign against Russian shipping in the Sea of Azov, creating new problems for the supply to occupied Crimea and Russia’s fuel logistics.
– According to the Unmanned Systems Forces, only over the weekend, 42 Russian vessels were attacked, mostly tankers and ferries, and in total for the week, about 90 vessels were targeted.
– Some of the attacks are confirmed by eyewitness videos and satellite images showing fires on ships in the Sea of Azov. NZZ particularly highlights the attacks in the Taganrog Bay area.
– To hit targets in this part of the Sea of Azov, Ukrainian drones have to cover over 200 km, indicating a significant expansion of the capabilities of Ukrainian strike systems.
– Amid the attacks, vessel movement through the Sea of Azov and the Kerch Strait has sharply decreased. This creates additional difficulties for the supply to Crimea, which is already facing a fuel shortage due to strikes on oil refining and transport infrastructure.
– Alternative routes also remain problematic. Road transport through the occupied areas of southern Ukraine is under constant threat of drone attacks, and the Crimean Bridge remains closed to freight traffic.
– Ukraine has effectively opened a new line of pressure on Russian logistics, which exacerbates supply problems for Crimea and complicates the support of Russian troops in the south.

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