Overview

Title

To impose sanctions and other measures with respect to the Russian Federation if the Government of the Russian Federation refuses to negotiate a peace agreement with Ukraine, violates any such agreement, or initiates another military invasion of Ukraine, and for other purposes.

ELI5 AI

S. 1241 is a proposed U.S. law that says if Russia doesn't try to make peace with Ukraine or starts fighting Ukraine again, the U.S. will make sure it's much harder and more expensive for Russia to do business or trade with other countries.

Summary AI

S. 1241, known as the “Sanctioning Russia Act of 2025,” is a proposed law that aims to impose strict sanctions on Russia if it refuses to negotiate peace with Ukraine, violates any peace agreement, or initiates another military attack on Ukraine. The bill outlines a comprehensive set of measures including financial penalties, prohibitions on trading and investments involving Russian entities, and restrictions on importing uranium from Russia. It also includes increasing duties on all goods and services imported from Russia and establishes guidelines for the termination and reimposition of sanctions based on Russia's actions. The goal is to ensure that Russia faces severe economic consequences and encourages the protection of Ukraine's sovereignty.

Published

2025-04-01
Congress: 119
Session: 1
Chamber: SENATE
Status: Introduced in Senate
Date: 2025-04-01
Package ID: BILLS-119s1241is

Bill Statistics

Size

Sections:
20
Words:
6,545
Pages:
31
Sentences:
206

Language

Nouns: 2,160
Verbs: 377
Adjectives: 215
Adverbs: 54
Numbers: 245
Entities: 534

Complexity

Average Token Length:
4.19
Average Sentence Length:
31.77
Token Entropy:
5.24
Readability (ARI):
17.53

AnalysisAI

General Summary of the Bill

The "Sanctioning Russia Act of 2025" is proposed legislation intended to impose stringent sanctions on the Russian Federation if it refuses to engage in peace negotiations with Ukraine, violates any peace agreement, or invades Ukraine. The bill outlines specific financial and economic measures, including blocking properties, prohibiting transactions, and imposing sanctions on Russian government officials, financial institutions, and entities affiliated with or supporting the Russian government. It also includes prohibitions on trading with Russian securities on U.S. exchanges, investments benefiting the Russian government, and imports of Russian-origin energy products. Furthermore, the legislation suggests a dramatic increase in duties on Russian imports and on goods from countries that trade certain Russian-origin products.

Summary of Significant Issues

One of the major issues with the bill is its lack of clarity on what exactly constitutes a "covered determination" across various sections. This could lead to inconsistent enforcement and interpretation of the sanctions. Additionally, the broad discretion given to the President to define who qualifies as an "oligarch," along with the power to impose sanctions, raises concerns about potential overreach. The bill's mandate to increase import duties on goods from Russia by at least 500 percent ad valorem could have significant economic repercussions without clear evidence of its impact, and the absence of a sunset clause for these measures reduces the opportunity for regular reassessment.

Another concern is the frequent, repetitive imposition of sanctions every 90 days, which could become inefficient and burdensome without a clear reason for such frequency. The bill also bypasses the usual requirement for a National Emergency declaration, potentially reducing oversight and transparency for these serious economic measures.

Impact on the Public

Broadly, the bill could impact international trade and economic conditions, possibly leading to increased prices for goods linked to Russian imports in the U.S. market. This could affect consumers as well as businesses reliant on Russian imports or engaging in trade with the Russian Federation or entities affiliated with it. Additionally, financial institutions dealing with Russian counterparts might face challenges in compliance and risk significant penalties for violations.

Impact on Specific Stakeholders

For stakeholders such as U.S. businesses that rely on importing Russian goods, the proposed sanction-induced import duties could significantly impact costs and profitability. These businesses might need to seek alternative suppliers, potentially increasing operational costs. On an international level, countries trading Russian-origin products might face challenges due to heightened tariffs, impacting bilateral trade dynamics and relationships.

Conversely, the bill could positively impact stakeholders interested in emphasizing global security and geopolitical stability. By imposing strict measures on Russia, the U.S. aims to deter aggressive military actions against Ukraine, potentially promoting peace and stability in the region.

Overall, while the bill aims to address significant geopolitical concerns, it invites discussions and reviews surrounding potential economic impacts and challenges related to enforcement and executive overreach.

Issues

  • The lack of clarity and criteria for what constitutes a 'covered determination' across multiple sections (4, 5, 6, 7, 9, 10, 11, 12, 13, 14, 15, 16, 17) creates ambiguity in enforcement and scope, potentially leading to inconsistent interpretations and applications of sanctions.

  • The broad discretion given to the President in multiple sections, such as Section 5(c) for imposing sanctions and the undefined term 'oligarch,' may result in overly broad or unchecked executive powers which could have significant political and legal implications.

  • The increase in duties on goods and services imported from Russia by at least 500 percent ad valorem without a clear impact analysis or sunset clause (Sections 15 and 17) could lead to substantial economic repercussions and international trade disputes.

  • The frequent imposition timeline for sanctions every 90 days following a determination (Sections 4, 5, 6, 7, 9, 13, 14, 16, 17) is potentially excessive and may lead to administrative inefficiencies without clear justification for the frequency.

  • The exclusion of the National Emergency requirement for the invocation of sanctions in multiple sections (5, 6, 7, 13) reduces the transparency and oversight typically associated with economic actions of this magnitude, raising concerns on checks and balances.

  • The undefined terms such as 'maximum sanctions' in Section 2 and broad definitions like 'Critical Infrastructure' in Section 3 might result in ambiguous legal interpretations that could hinder the bill's efficacy and enforcement.

  • Lack of due process considerations, such as clear appeal processes for affected individuals and entities facing sanctions (Sections 5, 7, 9), raises ethical and legal concerns about fairness and rights.

  • The reference to multiple external laws without summaries (Sections 5, 19) complicates accessibility and understanding of the bill's full implications for the general public, potentially resulting in misinterpretations and legal confusion.

Sections

Sections are presented as they are annotated in the original legislative text. Any missing headers, numbers, or non-consecutive order is due to the original text.

1. Short title; table of contents Read Opens in new tab

Summary AI

The "Sanctioning Russia Act of 2025" is a proposed law that outlines penalties against Russia, detailing various prohibitions on financial, trade, and investment activities related to the Russian Federation, while also specifying measures for enforcement and potential exceptions.

2. Sense of Congress Read Opens in new tab

Summary AI

The section expresses Congress's opinion that if Russia does not negotiate peace with Ukraine, it should face severe sanctions from the U.S. Additionally, to prevent future conflicts and support Ukraine's sovereignty, the U.S. should continue providing security assistance to strengthen Ukraine's defense capabilities.

3. Definitions Read Opens in new tab

Summary AI

In this section, key terms related to the act are defined. These include specific meanings for "accounts" related to banking, "admission" and "alien" related to immigration, and what comprises the "Armed Forces of the Russian Federation." It explains what "critical infrastructure" entails in Ukraine, clarifies who qualifies as a "foreign person" or "United States person," and lists different forms of "military invasion." It also elucidates the meaning of terms like "knowingly" and "financial institution."

4. Covered determination Read Opens in new tab

Summary AI

The President must decide every 90 days if specific Russian government entities or their proxies are involved in certain aggressive actions against Ukraine, like refusing to negotiate peace, breaking peace agreements, starting a new invasion, or trying to disrupt the Ukrainian government.

5. Imposition of sanctions on certain persons affiliated with or supporting the Government of the Russian Federation Read Opens in new tab

Summary AI

The section outlines sanctions the President must impose on individuals linked to or supporting the Russian government. These sanctions include blocking property and prohibiting transactions in the U.S. as well as making these individuals ineligible for U.S. visas or entry, with immediate revocation of any current visas.

6. Imposition of sanctions with respect to financial institutions affiliated with the Government of the Russian Federation Read Opens in new tab

Summary AI

The section outlines the sanctions the U.S. Secretary of the Treasury must impose on Russian financial institutions connected to the Russian government, such as the Central Bank and Sberbank. These measures involve freezing assets of these banks and limiting their access to U.S. financial services, as well as blocking U.S. persons from engaging in transactions with them.

7. Imposition of sanctions with respect to other entities owned by or affiliated with the Government of the Russian Federation Read Opens in new tab

Summary AI

The section mandates that the Secretary of the Treasury imposes sanctions on entities owned or affiliated with the Russian government within a specific timeframe. These sanctions include blocking any related assets that are within the United States or controlled by U.S. persons, without needing to declare a national emergency.

8. Prohibition on transfers of funds involving the Russian Federation Read Opens in new tab

Summary AI

The bill section prohibits financial institutions and securities brokers from processing money transfers to or from Russia and for the benefit of Russian government officials unless the transaction is part of a licensed activity and doesn't involve Russian accounts. It also defines a "Russian person" as a Russian citizen, national, or entity.

9. Prohibition on listing or trading of Russian entities on United States securities exchanges Read Opens in new tab

Summary AI

The section states that the Securities and Exchange Commission must stop securities from Russian government-affiliated entities from being traded on U.S. stock exchanges within 15 days of determination. It defines the terms related to issuers and national securities exchanges as used in the section.

10. Prohibition on investments by United States financial institutions that benefit the Government of the Russian Federation Read Opens in new tab

Summary AI

The section prohibits U.S. financial institutions from investing in entities owned by or benefiting the Russian government or military, requiring action from the Secretary of the Treasury within 15 days after a relevant decision. A "United States financial institution" includes any financial institution or fund that is considered a U.S. person.

11. Prohibition on energy exports to, and investments in energy sector of, the Russian Federation Read Opens in new tab

Summary AI

The section prohibits the export and reexport of energy products from the United States to Russia and bans investments by U.S. persons in the Russian energy sector once a specific determination is made. It also requires the President to impose sanctions on foreign entities that help Russia's energy production and prevents U.S. persons from engaging in transactions with those entities.

12. Prohibition on purchases of sovereign debt of the Russian Federation by United States persons Read Opens in new tab

Summary AI

United States persons are prohibited from buying the Russian government's sovereign debt starting 15 days after a specific decision is made.

13. Prohibition on provision of services to sanctioned financial institutions by international financial messaging systems Read Opens in new tab

Summary AI

The President must impose sanctions within 15 days, and again every 90 days, on any international financial messaging service that continues to work with financial institutions facing sanctions. This includes targeting the service's leaders and significant shareholders.

14. Prohibition on importing, and sanctions with respect to, uranium from the Russian Federation Read Opens in new tab

Summary AI

The bill requires the President to ban the import of uranium from Russia and any country that has uranium originally sourced from Russia within 15 days of a specific determination. Additionally, the President must impose sanctions on people and organizations involved with Russian uranium and on foreign entities that knowingly deal with it.

15. Increases in duties on goods and services imported from the Russian Federation Read Opens in new tab

Summary AI

The section outlines that, within 15 days of a decision, the President must increase import duties on goods and services from the Russian Federation, including oil and gas, to at least 500% of their value. Additionally, recommendations can be made for even higher duties, and these duties are to be added on top of any existing antidumping or countervailing duties.

16. Imposition of CAATSA sanctions Read Opens in new tab

Summary AI

The President must impose specific sanctions outlined in the Countering America’s Adversaries Through Sanctions Act on Russia and certain individuals within 15 days of a determination, and continue to apply these sanctions every 90 days if they are not already in place.

17. Duties on countries that purchase Russian-origin oil, uranium, and petroleum products Read Opens in new tab

Summary AI

In this section, the President is mandated to increase import duties by at least 500% on goods and services from countries that engage in trade of oil, uranium, and petroleum products originating from Russia. This duty increase is to be implemented 15 days after identifying such activities and reviewed every 90 days. The President can waive this duty once for up to 180 days if it's in national security interests, but cannot waive it for countries labeled as sponsors of terrorism or those specified in certain U.S. laws.

18. Exceptions Read Opens in new tab

Summary AI

This section outlines exceptions to who the Act applies to; it does not apply to humanitarian aid to Russian citizens, intelligence activities under U.S. national security laws, and necessary admissions of foreign nationals to the U.S. in order to comply with international agreements.

19. Implementation; penalties Read Opens in new tab

Summary AI

The President is given the power to use certain economic authorities to implement this Act. If someone breaks the rules of this Act or its related orders, they can face penalties similar to those for breaking specific parts of the International Emergency Economic Powers Act.

20. Termination authority; reimposition of sanctions Read Opens in new tab

Summary AI

The section explains that the President has the power to stop certain penalties and bans once they confirm that those responsible have stopped their harmful actions, and Russia has made peace with Ukraine. However, if anyone breaks the rules again, the President must bring back all the previous penalties and add new ones.