Prohibit import of Russian-origin aluminum, copper, and nickel into the United States
The U.S. Department of the Treasury, in coordination with the United Kingdom, issued two new prohibitions to disrupt the revenue that Russia earns from its export of aluminum, copper, and nickel.
The Treasury release (April 12, 2024) explains that this new action aims to prohibit the import of Russian-origin aluminum, copper, and nickel into the United States, and limits the use of Russian-origin aluminum, copper, and nickel on global metal exchanges and in over-the-counter derivatives trading.
To implement this policy, Treasury has issued a new determination prohibiting the importation into the United States of aluminum, copper, and nickel of Russian origin produced on or after April 13, 2024. Treasury also issued a complementary determination under that prohibits the exportation, reexportation, sale, or supply to any person located in Russia of (1) warranting services for the metals produced on or after April 13, 2024, on a global metal exchange, and (2) services to acquire the metals produced on or after April 13, 2024, as part of the physical settlement of a derivative contract.
As a result, metal exchanges will be prohibited from accepting new aluminum, copper, and nickel produced by Russia.
Treasury’s Office of Foreign Assets Control (OFAC) issued “frequently asked questions” (FAQs) (April 12, 2024) and Russia-related General License 13I.