Ukraine Latest: EU Will Broaden Efforts to Sanction Russians

Mark Milley, the chairman of the US Joint Chiefs of Staff, said Wednesday that “we do not seek armed conflict with Russia” in the wake of the downing of an American spy drone in an encounter with Russian jets.

(Bloomberg) — Mark Milley, the chairman of the US Joint Chiefs of Staff, said Wednesday that “we do not seek armed conflict with Russia” in the wake of the downing of an American spy drone in an encounter with Russian jets.

Wheat prices fluctuated as traders focused on prospects for an extension of the grain-export deal that allows Ukraine to ship crops from its Black Sea ports. The agreement currently runs through March 18.  

The European Union plans to provide a clearer framework in its efforts to target the family members of sanctioned Russian billionaires after a legal setback last week. 

Key Developments

  • Austin Speaks to Russian Counterpart After Spy Drone Crash
  • Microsoft Warns Russia May Plan Sandworm Attacks Beyond Ukraine
  • Austin Calls Russia ‘Reckless,’ Says Drone Flights Will Continue
  • IMF, Ukraine to Conclude War-Era Loan Talks in ‘Coming Days’

(All times CET)

EU Will Broaden Efforts to Sanction Relatives of Russian Billionaires (9:42 a.m.)

The EU will provide a clearer legal framework to target family members of sanctioned Russians after an EU court last week annulled penalties imposed on the mother of Yevgeny Prigozhin, head of Russia’s Wagner mercenary group and a close ally of President Vladimir Putin. 

The bloc’s foreign service arm in charge of listings told member states on Wednesday that it will submit legislation soon, people familiar with the matter said. The idea was first floated before the court ruling, and has gained traction since.

Read more: EU to Expand Push to Sanction Relatives of Russian Billionaires

Latvian Premier in Kyiv For Talks (9:37 a.m.)

Prime Minister Krisjanis Karins is in Kyiv to discuss additional support Ukraine needs from NATO and the EU, he said in a statement. 

The Baltic country has given Ukraine weapons and support worth 1.1% of GDP, and will continue to provide aid, according to the statement. Karins will discuss Ukraine’s goal of joining the EU, and will visit Bucha and Irpin during the visit. 

Latvia’s leader has called for Ukraine to join both the EU and NATO after the war ends.

EU Leaders to Agree to Further Measures on Ammunition, Scholz Says (9:20 a.m.)

German Chancellor Olaf Scholz said European Union leaders will agree at a summit next week on further measures “to achieve an even better, continuous supply” of ammunition for Ukraine. 

“We will continue to ensure that Ukraine receives weapons and equipment to hold out and defend itself,” Scholz said in a speech to the lower house of parliament in Berlin on Thursday morning. 

He pledged that the EU will maintain its “sanctions pressure” on Russia, and said member states will work together to ensure that the measures “are not circumvented via third countries.”

Glencore Won’t Renew Aluminum Contract With Rusal (8:30 a.m.)

Glencore Plc is willing to walk away from a $16 billion deal to buy aluminum from Russia’s No. 1 producer, in a move that would distance itself from one of its biggest rivals.

Under the company’s policy of not doing any new business with Russia, it won’t renew a deal with United Co. Rusal International PJSC when that expires next year, according to CEO Gary Nagle. 

Read more: Glencore Won’t Renew $16 Billion Aluminum Contract With Rusal

Zelenskiy Meets With Billionaire Laurene Powell Jobs (8 a.m.)

Ukraine’s president met Wednesday with billionaire philanthropist Laurene Powell Jobs, widow of Apple co-founder Steve Jobs and president of Emerson Collective, majority owner of The Atlantic magazine. 

The meeting was also attended by Jeffrey Goldberg, the magazine’s editor in chief, and journalist Anne Applebaum, author of “Red Famine: Stalin’s War on Ukraine.” 

They discussed the use of technology in war, counteracting Russian cyber-attacks, the further involvement of Ukrainian IT specialists and the technology sector’s role in the future reconstruction of Ukraine, according to a post on the presidential website.   

Poland in Talks With Slovakia on MiG-29 Transfer to Ukraine (8 a.m.) 

Poland is in talks with Slovakia on transferring MiG-29 fighter jets to Ukraine, Defense Minister Mariusz Blaszczak said in interview with Radio 1. The plan is to transfer the Soviet-era jets in a “wider coalition” of countries, Blaszczak said.

Black Sea Grain Deal in Focus as Deadline Approaches (7 a.m.)

Wheat prices from the highest level in more than a week, with traders seeking clarity over the terms of renewing a key grain-export deal that allows Ukraine to ship crops from its Black Sea ports.

The pact, initially brokered by the UN and Turkey in July, currently runs through March 18. Russia suggested renewing it for 60 days, half of the initiative’s previous two terms, but hasn’t received official reactions from all parties, according to Tass. 

Kyiv has pushed back on Moscow’s proposal, saying it contradicted the terms of the original agreement, and wants a four-month extension. 

IMF, Ukraine Wrapping up Talks on War-Era Loan (8:12 p.m.)

The International Monetary Fund and Ukraine expect in the next few fays to conclude discussions over a new loan program, anticipated to be worth about $15 billion (€14.2 billion).

“The discussions between IMF staff and the Ukrainian authorities were productive and very good progress has been made toward agreement on a set of policies that could underpin a fund-supported program,” Vahram Stepanyan, the IMF resident representative to Ukraine, said in a statement. 

An agreement would be the first time the IMF has decided on a full-fledged loan program to a nation at war. 

Microsoft Warns on Wider Russian ‘Sandworm’ Attacks (9 p.m.)

Microsoft warned that an infamous hacking group that is tied to Russia’s military intelligence agency GRU could be gearing up for more ransomware attacks both inside and outside of Ukraine. 

Microsoft calls the group Iridium, but it is perhaps best known as Sandworm. It has been accused of attacks on Ukraine’s electric power grid and government agencies, the 2018 Winter Olympics and businesses across the globe. Now, it appears to be preparing for a renewed destructive campaign, the software company said in a threat intelligence report on Wednesday. 

Read more: Microsoft Warns Russia May Plan Sandworm Attacks Beyond Ukraine

Poland Sees Coalition Emerging for Soviet-Era Jets to Ukraine (4:41 p.m.) 

Polish government spokesman Piotr Muller didn’t elaborate on which allies would agree to send MiG-29 aircraft, leaving decisions with individual states. 

In Slovakia, Prime Minister Eduard Heger said his interim government was poised to decide in favor of MiG shipments, though is awaiting details to be finalized in negotiations. Heger was forced to resolve a legal dispute, since his administration has limited powers after losing a confidence vote in December. 

Read more: Poland Sees Coalition Emerging for Soviet-Era Jets to Ukraine

Nearly a Quarter of Ukrainian Women Live Abroad: EBRD (4:36 p.m.)

Almost one in four of Ukraine’s pre-war female population is now outside the country, the European Bank for Reconstruction and Development said in a research note.

Most of the women were employed before leaving the country, the EBRD said. Among males, 13% are living outside Ukraine. Most refugees haven’t found work in the host countries, while many face financial difficulties. In total, some 35% of Ukraine’s pre-war population are now living away from home, according to the EBRD.

Read More: More Ukrainians Are Settling Abroad as War Grinds On 

Austin Calls Russia ‘Risky,’ Says Drone Flights Will Continue (3:11 p.m.) 

The US will continue its drone flights in international airspace in the wake of a Russian aircraft’s interference with a surveillance drone over the Black Sea on Tuesday, Austin said.

“This hazardous episode is part of a pattern of aggressive, risky, and unsafe actions by Russian pilots in international airspace,” Austin said at the 10th meeting of the Ukraine Defense Contact Group. “So make no mistake. The United States will continue to fly and to operate wherever international law allows. And it is incumbent upon Russia to operate its military aircraft in a safe and professional manner.” 

Read More: Russian Fighter Jet Collides With US Drone Over Black Sea 

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