Latvia has single-handedly blocked a European Union agreement that would have removed Uzbek-Russian businessman Alisher Usmanov from the bloc's sanctions list, throwing the renewal of the entire regime into doubt.
The move came late on Monday, just hours before the current sanctions package was due to expire. French diplomats had pushed for Usmanov's delisting as part of a broader compromise, but Riga refused to back down, citing the ongoing war in Ukraine.
“As long as Russia continues the war, Europe's pressure must become stronger, not more convenient for the Kremlin,” Latvian Prime Minister Andris Kulbergs said in a video message posted just before midnight. His government has long advocated a policy of maximum pressure on Moscow, alongside fellow Baltic states Lithuania and Estonia.
The French proposal linked Usmanov's removal to the release of two French nationals imprisoned in Azerbaijan. Uzbekistan, where Usmanov was born, is said to have facilitated the arrangement. Slovakia also demanded his removal, though for different reasons.
Ireland, which holds the rotating presidency of the EU Council, proposed a compromise on Monday: remove Usmanov and fellow oligarch Mikhail Fridman from the list, but extend the entire sanctions regime for an unprecedented 36 months to prevent future vetoes. Most member states signalled support, even if many diplomats admitted the deal was hard to swallow.
Ukrainian officials took to social media to voice their displeasure as negotiations unfolded. But Latvia was the only country that withheld its green light, breaking the required unanimity. Envoys met again on Tuesday morning, but neither Latvia nor France budged. Discussions were set to resume in the afternoon.
The sanctions must be renewed by the end of the day. If not, the entire list of 2,600 names — including Russian President Vladimir Putin — will collapse. The stakes are high, and the clock is ticking.
Latvia digs in
In his video, Kulbergs said his country would work with Brussels and Paris to find a “suitable solution for Latvia's interests.” He added: “Extending sanctions for 36 months would be the right step. However, the price for it must not be simply striking both individuals from the sanctions list. Latvia cannot accept such an offer.”
The prime minister said he would convene an emergency cabinet meeting on Tuesday to discuss the matter. Foreign Minister Baiba Braže said “other countries” — meaning France — should be asked to explain their positions. Latvia is heading to a parliamentary election next month, and the government is keen to show resolve.
Usmanov, 73, was sanctioned by the EU in the early days of Russia's full-scale invasion of Ukraine. Brussels cited his “close ties” to Putin and his interests in “key sectors” of the Russian economy that provide “substantial” revenue to the state. His fortune is estimated at $16.6 billion. He has denied the allegations and challenged the sanctions, which include a travel ban and asset freeze.
The standoff has exposed deep divisions within the EU over how to handle Russian oligarchs and the broader sanctions regime. Lithuania has warned that delisting Usmanov could expose EU weakness, and other member states share that concern.
High Representative Kaja Kallas, speaking on the sidelines of the United Nations conference in New York, said: “Sanctions are a core pillar of our response to Russia's war. We aim to close them soon and hopefully have the rollover swiftly.” But with Latvia holding firm, a swift resolution looks unlikely.
The impasse comes as Trump and Zelenskyy are set to meet at the UN while the EU's sanctions deadline slips. The outcome of the talks will determine whether the bloc can maintain its united front against Moscow.
