Sanctions Threaten Maritime Safety, Warns Russian Shipping Giant Sovcomflot

Sanctions imposed on shipping companies are undermining maritime safety and posing risks to global trade by affecting ship standards, according to Igor Tonkovidov, the CEO of sanctioned Russian shipping conglomerate Sovcomflot.

The European Union recently placed sanctions on Russia’s state-owned top tanker company Sovcomflot (SCF) and its CEO, as outlined in the EU’s Official Journal. Earlier this year, the U.S. Treasury’s Office of Foreign Assets Control (OFAC) also designated 14 crude oil tankers as property in which Sovcomflot has an interest.

“Sovcomflot is genuinely disappointed that high-quality, safe maritime transportation is being sacrificed for short-term geopolitical goals,” Tonkovidov remarked in a statement sent to Reuters on Tuesday. “This certainly does not contribute to improving the safety of maritime transportation, especially in European waters.”

Tonkovidov expressed strong objections to the division of the global trade fleet into opposing factions and the erosion of the safety culture and values developed by the maritime industry over decades. He assured that Sovcomflot would continue to adhere to the highest standards despite these challenges.

These comments were first reported by the shipping publication Tradewinds. In April, Tonkovidov noted that sanctions had affected Sovcomflot’s operations, restricting their geographical reach and commercial prospects.

Previously one of the world’s leading tanker operators, Sovcomflot transported 75 million metric tons of oil in 2023, primarily to markets in China, India, and the Mediterranean.

Western sanctions against Russia have led to the withdrawal of international service providers, such as ship engine manufacturers and safety certifiers, further complicating the country’s maritime operations. Global shipping industry officials have also raised alarms about the safety hazards posed by hundreds of aging and unregulated tankers in the so-called shadow fleet, which transports oil from sanctioned countries like Russia, Iran, and Venezuela.