On February 24, 2023, Canada announced additional amendments to the Special Economic Measures (Russia) Regulations (the “Regulations”) in response to individuals and entities “complicit in Russia’s ongoing war against Ukraine”. These amendments list an additional 129 individuals and 63 entities under Schedule 1 of the Regulations. These amendments also prohibit the export to Russia of certain chemical elements for use in electronics,[1] and ban the import, purchase, or acquisition of Russian arms, ammunition, and other weapons, wherever situated or processed, from Russia or from any person in Russia. These amendments took effect on February 23, 2023.  

There are now over 1,600 parties listed under Schedule 1 of the Regulations. Among the newly listed parties are “senior managers in Russia’s leading defence companies, senior officials in the Russian government facilitating Russia’s invasion of Ukraine, a Russian oligarch and the family members of sanctioned individuals”, as well as “decision-making and implementing institutions involved in Russia’s ongoing violation of Ukraine’s sovereignty and territorial integrity, as well as private and state-owned-enterprises in Russia’s defence industry”.

Generally speaking, designation under Schedule 1 of the Regulations imposes an asset freeze and dealings prohibition against the designated person. Subject to limited exceptions, any person in Canada or any Canadian outside Canada cannot:

  • deal in any property, wherever situated, that is owned, held or controlled by or on behalf of a designated person whose name is listed in Schedule 1;
  • enter into or facilitate, directly or indirectly, any transaction related to such a dealing;
  • provide any financial or other related services in respect of such a dealing;
  • make available any goods, wherever situated, to a designated person listed in Schedule 1 or to a person acting on their behalf; or
  • provide any financial or related service to, or for the benefit of, a designated person listed in Schedule 1.

Additionally, individuals listed in Part 1.1 of Schedule 1 of the Regulations are also inadmissible to Canada under the Immigration and Refugee Protection Act.

Since February 2022, Canada has continually updated the Regulations, as well as the Special Economic Measures (Belarus) Regulations and the Special Economic Measures (Ukraine) Regulations. Businesses should continually assess their sanctions compliance in this shifting legal landscape. Regulations enacted under the Special Economic Measures Act obligate persons in Canada and Canadian citizens to disclose certain property held by Schedule 1 entities and any related transactional information to the RCMP. Additionally, certain entities have a continuing duty to determine and disclose certain property held by Schedule 1 entities.

An unofficial copy of the legislative amendments to the Special Economic Measures (Russia) Regulations that came into effect on February 23, 2023 are available on Global Affairs Canada’s website here and here.

[1] Chemical elements doped for use in electronics, in the form of discs, wafers or similar forms; chemical compounds doped for use in electronics. HS Code 3818.00


Julia Webster is a disputes and international trade lawyer. She advises companies on trade remedies, free trade agreements, blocking measures, customs compliance, anti-corruption laws, economic sanctions, AML compliance, supply chain ethics, and cross-border M&A.