US Sectoral Sanctions

49 19 CAATSA / Guidances / Lists (cont'd) CAATSA's basic content (as Russia-relevant) Codification by statute of the existing Russia blacklist (SDN) and sectoral (SSI) sanctions enacted by the series of EOs since 2014 which has made it harder for President Trump (and now Biden and beyond) to narrow / loosen any of these sanctions by exec. action - would require new law to repeal CAATSA (recall Jackson-Vanik Amendment's decades-long life) State / Treasury Dep'ts in Oct. 2017 issued important Guidances (and FAQs, Entity List, revised Directives) per various sections of the then-new law State Dep't on 27 Oct. 2017 issued CAATSA section 231(d) List of entities in the Russian defense / intelligence sectors: section 231 requires President to impose sanctions on any US or non-US person, wherever located, that the President determines has knowingly engaged in a "significant transaction" with a Russian defense/ intelligence sector entity on the List of Specified Persons as of now (and associated Public Guidance - and see further slides 52 and 55 below) State Dep't also issued on 31 Oct. 2017 Public Guidance ܀ # on CAATSA section 225 (requiring President to impose sanctions on non-US persons that invest in certain types of oil projects in Russia (see further slide 51)) and on section 232 (giving President discretion to impose sanctions on US or non-US persons that invest or are otherwise involved substantially in construction / modernization / repair of Russian energy export pipelines) - and State Dep't update of July 2020 stiffen interp./application of that re Nord Stream 2 etc. (see further slides 8 and 54) OFAC (Treasury Dep't) on 31 Oct. 2017 issued its initial Guidance (including some revised and new FAQS) to implement various CAATSA provisions for which it has primary authority - including amended / expanded Directive 4 (re Arctic offshore, deepwater and shale projects) and three other CAATSA provisions (see further slides 49-55 below) and see FAQS 540-547, 579 and 589 (all from Oct. 2017 or after) re "significant transaction", "facilitation" and other related CAATSA application issues and a new State Dep't stiffening Guidance re CAATSA section 232 - see slides 8 and 53 Morgan Lewis

View entire presentation