On September 18, 2014, the German export control authority (Bundesamt für Wirtschaft und Ausfuhrkontrolle – „BAFA“) published an FAQ Document on trading with Russia.
The most important clarifications by BAFA in the FAQ are the following:
· Transit controls: In Germany, the following transit controls apply with respect to shipments destined to Russia: The transit of items suited for unconventional oil projects in Russia and the transit of dual use items destined for a military use or a military end-user or one of the nine companies listed in Annex IV of the EU Sanctions requires a transit license. Where the sender of such items is established outside of the EU, the shipper or freight forwarder may act as agent for the sender and apply for the license in the sender’s name.
· Licensing requirements for Annex II items: Annex II of the EU Russia Sanctions contains a list of items that are generally suitable for unconventional oil projects. It is prohibited to ship these items to Russia if they are in fact designated for such projects. However, even if it is obvious that an item that will be sent to Russia will not or cannot be used in such unconventional oil project, a license is required if the item falls under one of the tariff codes listed in Annex II of the EU Russia Sanctions. Exporters are not allow to self-assess or self-certify that a particular item will not be used in an unconventional oil project.
· Individual open licenses (Individuelle Pauschalgenehmigung): It is now possible for exporters to obtain individual open licenses for shipping items subject to Annex II of the EU Sanctions – items which may generally be suited for unconventional oil projects – to Russia. For such licenses, it is not required to indicate a recipient or an end-user in Russia. It is also not required to provide an end-user-certificate or contract or order documents. The exporter may simply apply for shipping the items concerned to Russia.
