SHADOW Fleet Sanctions Act of 2026

This Act may be cited as the Sanctioning Harborers And Dodgers Of Western Sanctions Act of 2025 or the SHADOW Fleet Sanctions Act of 2025.

The table of contents for this Act is as follows:

In this title:

The term adequate maritime insurance —

(A) means verified documentation evidencing protection and indemnity insurance with audited financial statements of the insurer; and

(B) does not include insurance provided by—

(i) an insurer organized under the laws of the Russian Federation; or

(ii) an insurer that continues to provide insurance to any vessel designated for the imposition of sanctions under the laws of the United States, the European Union, or the United Kingdom.

The terms admitted and alien, and lawfully admitted for permanent residence have the meanings given those terms in section 101 of the Immigration and Nationality Act (8 U.S.C. 1101).

The term appropriate congressional committees means—

(A) the Committee on Foreign Relations and the Committee on Banking, Housing, and Urban Affairs of the Senate; and

(B) the Committee on Foreign Affairs and the Committee on Financial Services of the House of Representatives.

The term beneficial owner means, with respect to a vessel, any individual who, directly or indirectly, through any contract, arrangement, understanding, relationship, or otherwise—

(A) exercises substantial control over the vessel; or

(B) owns not less than 25 percent of the vessel.

The term crude oil price cap means the price cap for crude oil and petroleum products that originated in the Russian Federation established by the Price Cap Coalition.

The term foreign person means an individual or entity that is not a United States person.

The term foreign vessel means a vessel that is not owned or operated by a United States person.

The term knowingly, with respect to conduct, a circumstance, or a result, means that a person has actual knowledge, or should have known, of the conduct, the circumstance, or the result.

The term petroleum product means oil of any kind or in any form, gasoline, diesel fuel, aviation fuel, fuel oil, kerosene, any product obtained from refining or processing of crude oil, liquefied petroleum gases, natural gas liquids, petrochemical feedstocks, condensate, waste or refuse mixtures containing any of such oil products, and any other liquid hydrocarbon compounds.

The term Price Cap Coalition means the international coalition made up of Australia, New Zealand, Canada, the European Union, France, Germany, Italy, Japan, the United Kingdom, and the United States and known as the Price Cap Coalition.

The term Russian-origin petroleum product means a petroleum product extracted, refined, processed, or otherwise produced in the Russian Federation.

The term Russian person means—

(A) a citizen or national of the Russian Federation; or

(B) an entity organized under the laws of the Russian Federation or otherwise subject to the jurisdiction of the Government of the Russian Federation.

The term Russian shadow fleet means any foreign vessel or vessels used or directed by the Russian Federation to move oil, arms, and other goods for the purpose of circumventing international sanctions.

The term sabotage activities means actions, or preparations for actions, taken with the intent to cause defective production, operation, or damage to critical undersea infrastructure, including energy pipelines, offshore energy facilities, or subsea power lines and telecommunications cables and associated landing stations and facilities.

The term United States person means—

(A) a United States citizen or an alien lawfully admitted for permanent residence to the United States;

(B) an entity organized under the laws of the United States or of any jurisdiction within the United States, including a foreign branch of such an entity; or

(C) a person in the United States.

Not later than 90 days after the date of the enactment of this Act, the President shall impose the sanctions described in section 181 with respect to any Russian shadow fleet vessel that, on or after the date of the enactment of this Act, transports crude oil, arms, or other goods for the purpose of circumventing sanctions imposed by the United States or other countries, including—

(1) any foreign vessel the owner or operator of which knowingly—

(A) exhibits or engages in unsafe or nonstandard maritime behavior in furtherance of the transportation of Russian-origin petroleum products or uranium or coal that originated in the Russian Federation;

(B) lacks adequate maritime insurance for the transport of goods described in subparagraph (A); or

(C) evades compliance with the crude oil price cap; and

(2) any foreign person that the President determines knowingly—

(A) owns, operates, or manages a vessel described in paragraph (1);

(B) provides underwriting services or insurance or reinsurance necessary for such a vessel;

(C) facilitates deceptive or structured transactions to support a vessel described in paragraph (1);

(D) provides services or facilities for technology upgrades or installation of equipment for, or retrofitting or tethering of, a vessel described in paragraph (1) for the purpose of evading sanctions;

(E) provided services for the testing, inspection, or certification for a vessel described in paragraph (1) for the purpose of evading sanctions;

(F) serves as a captain or senior leadership of the crew of such a vessel; or

(G) transfers to the Russian Federation any foreign vessel designed to transport Russian-origin petroleum products or uranium or coal.

In determining whether a foreign vessel or foreign person is described in subsection (a), the President may use as prima facie evidence that the foreign vessel or foreign person is subject to sanctions imposed by the United Kingdom, the European Union, the Group of 7, or a member of the Five Eyes intelligence alliance.

In determining under subsection (a)(1)(A) if a vessel is exhibiting or engaged in unsafe or nonstandard maritime behavior, the President may use as prima facie evidence that the vessel is exhibiting or engaged in such behavior if the vessel has exhibited 3 or more indicators of such behavior, including the following:

(1) Has refused to take on a pilot in accordance with best practices of the International Maritime Organization.

(2) Does not respond when hailed by appropriate maritime authority.

(3) Turns off the Automatic Identification System of the vessel without explanation or report to the appropriate maritime authority within a reasonable period of time.

(4) Engages in unsafe maritime maneuvers with another vessel.

(5) Is uninsured or underinsured, including any vessel that is insured by an insurance company organized under the laws of the Russian Federation or the Islamic Republic of Iran.

(6) Is single-hulled contrary to standards of the International Maritime Organization.

(7) Has changed ownership or flag registry more than once in the previous year.

(8) Has a history of deliberately losing power or turning off transmitters without a compelling security need.

(9) Has not been properly maintained, based on credible evidence.

(10) Has been involved in a recent maritime or environmental incident.

(11) Is escorted by the military of the Russian Federation.

(12) Has engaged in sabotage activities.

Not later than 120 days after the date of the enactment of this Act, and every 90 days thereafter, the President shall submit to the appropriate congressional committees a report that describes any sanctions imposed under this section, including a brief description of each foreign person and foreign vessel with respect to which sanctions are imposed and the justification for such sanctions.

Not later than 180 days after the date of the enactment of this Act, the President shall impose the sanctions described in section 181 with respect to a foreign person if the President determines that the foreign person, on or after the date of the enactment of this Act, has engaged in a transaction described in subsection (b) with a Russian shadow fleet vessel that is subject to sanctions imposed by the United States.

A transaction described in this subsection is any of the following:

(1) The conduct of any ship-to-ship transfer involving Russian-origin petroleum products, uranium, or coal products with a Russian shadow fleet vessel.

(2) The provision of significant goods or services, including crew or maintenance services, in support of a Russian shadow fleet vessel with the knowledge that the vessel is subject to sanctions imposed by the United States.

(3) In the case of the owner or operator of a foreign port, allowing a Russian shadow fleet vessel to port or otherwise receive services at the foreign port.

(4) In the case of a foreign person that is the owner or operator of a refinery, knowingly engaging in a transaction to process, refine, or otherwise deal in any Russian Federation-origin petroleum products that were transported on a Russian shadow fleet vessel.

Beginning on the date that is 15 days after the date of the enactment of this Act, the President may impose the sanctions described in section 181 with respect to any foreign person that owns or operates a port in the People’s Republic of China or the Republic of India that accepts oil from—

(1) foreign vessels transporting Russian-origin crude oil for sale at a price higher than the maximum price agreed to by the Price Cap Coalition or any related price cap established by the United States; or

(2) foreign vessels with respect to which the United States has imposed sanctions.

Not later than 180 days after the date of the enactment of this Act, and every 180 days thereafter, the Secretary of State, through the head of the Office of Sanctions Coordination and in coordination with the Secretary of the Treasury and the Director of the Office of Foreign Assets Control of the Department of the Treasury, shall submit to the appropriate congressional committees a report that includes a list of each foreign vessel subject to sanctions imposed by the European Union or the United Kingdom that is determined to operate as part of the Russian shadow fleet.

For any vessel listed in a report under paragraph (1) that is not subject to sanctions imposed by the United States, the report shall include the justification provided by the European Union or the United Kingdom, as the case may be, for designation of the vessel and a brief justification of the reason provided by the European Union or the United Kingdom.

Not later than 180 days after the date of the enactment of this Act, the Secretary of State, through the head of the Office of Sanctions Coordination and in coordination with the Secretary of the Treasury and the Director of the Office of Foreign Assets Control, shall produce a strategy for enhancing alignment of sanctions designation authorities of the United States regarding vessels supporting the Russian shadow fleet with those authorities of the European Union and the United Kingdom.

It is the sense of Congress that the United States supports the efforts of the Joint Expeditionary Force to track, monitor, deter, and if necessary, respond to operations and illicit activities of the Russian shadow fleet.

It shall be the policy of the United States to use relevant maritime elements of the United States Government to support and amplify the authorized efforts of the Joint Expeditionary Force.

The Secretary of State, in coordination with the heads of relevant Federal agencies, shall establish and maintain a public database of foreign vessels suspected of being involved in sabotage activities or other illicit activities in support of the Russian shadow fleet that includes credible, open-source information collected regarding activities described in section 111(a).

Whenever possible, the Secretary of State shall coordinate with Australia, New Zealand, Canada, France, Germany, Italy, Japan, the United Kingdom, and the European Union, if any such country or jurisdiction is imposing sanctions with respect to the Russian shadow fleet, to coordinate information sharing on data regarding foreign vessels suspected of engaging in sabotage activities or other illicit activities described in subsection (a), including credible, open-source information collected regarding activities described in section 111(a).

Not later than 90 days after the date of the enactment of this Act, and every 90 days thereafter, the Secretary of State, in coordination with the Secretary of the Treasury, shall submit to the appropriate congressional committees a report listing any specific license granted or in effect under Executive Order 14024 (50 U.S.C. 1701 note; relating to blocking property with respect to specified harmful foreign activities of the Government of the Russian Federation).

Each report required under subsection (a) shall be submitted in classified form.

It is the policy of the United States that the government of a country is complying with the minimum standards required by the United States for maintaining an open flag registry if, on balance, the government—

(1) has enacted and implemented laws and established government structures, policies, and practices that prohibit and generally deter the use of its flag registry as a mechanism to circumvent sanctions imposed by the United States, the United Kingdom, the European Union, or other Group of 7 countries, including prohibiting its flag to continue to fly on vessels that are subject to sanctions imposed by any such country or jurisdiction;

(2) has enacted and implemented laws and established government structures, policies, and practices that prohibit and generally deter the use of its flag registry to avoid detection of illicit activities, including drug trafficking, illicit arms shipments, human trafficking, and illegal, unreported, and unregulated fishing activities;

(3) enforces the laws described in paragraphs (1) and (2) by punishing any person found, through a fair judicial process, to have violated those laws;

(4) takes steps to ensure ships flying its flag comply with well-established industry standards and best practices relating to maritime activities, including adhering to resolutions and warnings promulgated by the International Maritime Organization, such as Resolution A.1192(33) (December 6, 2023) relating to urging member states and all relevant stakeholders to promote actions to prevent illegal operations in the maritime sector by the dark fleet or shadow fleet;

(5) responds to credible reports from other countries and private entities warning of vessels flying its flag engaging in maritime behavior that poses safety risks, such as not allowing pilot access or turning off Automatic Identification Systems without adequate justification;

(6) takes steps to ensure vessels flying its flag adhere to measures that lawfully prohibit and regulate ship-to-ship transfers of oil or petroleum products subject to sanctions;

(7) takes steps to ensure vessels flying its flag possess adequate and credible insurance to cover the costs of maritime accidents;

(8) takes steps to ensure vessels are operating under transparent ownership structures, including by verifying the beneficial ownership and management of vessels; and

(9) takes steps to ensure vessels do not avoid flag state or port state control inspections or avoid commercial screenings and inspections.

Not later than one year after the date of the enactment of this Act, and annually thereafter through 2030, the Secretary of State, in consultation with the heads of appropriate Federal agencies, shall—

(1) conduct an assessment of countries that do not meet the minimum standards for operating as a flag state registry in compliance with United States policy, including the standards described in section 131; and

(2) submit to the appropriate congressional committees a strategy for identifying and engaging with those countries.

The Secretary of State, in coordination with the Secretary of the Treasury, shall—

(1) fully monitor international compliance with the crude oil price cap within the jurisdiction of the United States;

(2) engage, advise, and assist foreign governments in joining and implementing efforts to enforce the crude oil price cap;

(3) engage with the governments of countries that import or facilitate the transport of crude oil of Russian Federation origin or refined petroleum products made from such oil to identify entities evading the crude oil price cap and deploy resources aimed at enforcement and compliance; and

(4) consider which countries play a significant role in exporting such oil or petroleum products or in evading sanctions when selecting locations to assign Treasury Financial Attachés under section 316 of title 31, United States Code.

Not later than 180 days after the date of the enactment of this Act, and every 2 years thereafter, the Secretary of State, in coordination with the Secretary of the Treasury, the Secretary of Commerce, and the Secretary of Energy, shall submit to the appropriate congressional committees a report that includes the following and all related material information:

(1) A determination of whether crude oil of Russian Federation origin or refined petroleum products made from such oil are entering the United States and, if so, at what volume.

(2) A description of efforts undertaken by the executive branch to monitor and prevent the importation of such oil and petroleum products.

(3) A description and assessment of efforts undertaken by the Department of State to engage countries, individuals, entities, port stakeholders, and other organizations involved in the maritime oil trade to promote responsible practices, uphold environmental and safety standards, prevent and disrupt trade in goods subject to sanctions imposed by the United States, and enhance compliance with the crude oil price cap.

(4) An assessment of income derived by the Russian Federation from individuals, entities, and organizations involved in the acquisition, transport, sale, and delivery of such oil or petroleum products in excess of the crude oil price cap, including through entities beneficially owned by the Government of the Russian Federation between January 2022 and the date of the report.

(5) An estimate of income described in paragraph (4) projected to be derived by the Russian Federation from calendar year 2025 through the calendar year following submission of the report.

(6) An assessment of the extent to which the Russian Federation benefits financially from the sale of such oil or petroleum products exported in compliance with the crude oil price cap.

The requirement to submit reports under subsection (a) shall terminate on the earlier of—

(1) January 1, 2030; or

(2) the date that is 90 days after the termination of the prohibition on importation of energy products of the Russian Federation under section 3 of the Ending Importation of Russian Oil Act (Public Law 117–109; 22 U.S.C. 8923 note).

It shall be the policy of the United States—

(1) to fully promote the recommendations made by Resolution A.1192(33) of the International Maritime Organization, adopted on December 6, 2023;

(2) to use the voice and vote of the United States in international organizations and engage other relevant multilateral bodies, such as the North Atlantic Treaty Organization and the European Union, to strongly encourage the governments of all countries to adopt those recommendations, including the recommendation that a port state, when the state becomes aware of a vessel intentionally taking measures to avoid detection, such as switching off its Automatic Identification System or long-range identification and tracking system transmissions or concealing its actual identity, should, following an initial investigation to verify that the vessel has not stopped transmitting signals for legitimate reasons—

(A) subject the vessel to enhanced inspections as authorized through relevant mechanisms of the port state; and

(B) notify the flag administration of the vessel, as appropriate; and

(3) to encourage governments of all countries to deny access to ports and services for any vessel that, following an initial investigation, is found to have turned off its transponder or entered false information for the purpose of conducting a transfer of or transaction for crude oil of Russian Federation origin or refined petroleum products made from such oil in violation of the crude oil price cap.

Not later than 30 days after the date of enactment of this Act, and every 180 days thereafter, the President shall impose the sanctions described in section 181 with respect to any foreign person the President determines is, on or after such date of enactment, a leader, official, senior executive officer, or member of the board of directors of, or principal shareholder with a controlling or majority interest in, any of the following Russian energy projects:

(1) The Yamal Liquified Natural Gas Product or a successor project.

(2) The Arctic 1, 2, and 3 Liquified Natural Gas Projects or a successor project.

(3) Any project in the Arctic region or the Russian Far East carried out after the date of the enactment of this Act.

It is the sense of Congress that—

(1) countries that rely on Russian energy projects, including Sakhalin-1 and Sakhalin-2, TurkStream 1 and 2, and the Druzhba pipeline, should work to expeditiously end their dependence on such projects and diversify their sources of energy to exports from other countries, including the United States; and

(2) the European Union should remain committed to firm deadlines set forth in the RePowerEU Roadmap for the phasing out of energy exported from the Russian Federation.

Section 7503 of the Protecting Europe’s Energy Security Act of 2019 (title LXXV of Public Law 116–92; 22 U.S.C. 9526 note) is amended—

(1) in subsection (a)(1)(B)(v), by striking the Nord Stream 2 pipeline and inserting the Nord Stream 1 pipeline, the Nord Stream 2 pipeline, or a successor to either such pipeline;

(2) in subsection (e)—

(A) by striking paragraph (4); and

(B) by redesignating paragraphs (5) and (6) as paragraphs (4) and (5), respectively;

(3) by amending subsection (f) to read as follows:

The President may waive the application of sanctions under this section if—

(A) the President—

(i) determines such a waiver is in the national security interests of the United States; and

(ii) not later than 30 days before the waiver takes effect, submits to the appropriate congressional committees a report on the waiver and the reasons for the waiver; and

(B) a joint resolution prohibiting the waiver is not enacted into law during the 30-day period described in subparagraph (A)(ii).

A joint resolution described in paragraph (1)(B) introduced in either House of Congress shall be considered in accordance with the provisions of section 601(b) of the International Security Assistance and Arms Export Control Act of 1976 (Public Law 94–329; 90 Stat. 765), except that the resolution shall be subject to germane amendments.

If joint resolution described in paragraph (1)(B) is vetoed by the President, the time for debate in consideration of the veto message on the resolution shall—

(i) in the Senate, be limited to 20 hours; and

(ii) in the House of Representatives, be determined in accordance with the Rules of the House.

(3) ; and

(4) in subsection (h)—

(A) by striking paragraph (2);

(B) by striking terminate and all that follows through the date on which and inserting terminate on the date on which;

(C) by redesignating subparagraphs (A) and (B) as paragraphs (1) and (2), respectively, and by moving such paragraphs, as so redesignated, 2 ems to the left; and

(D) in paragraph (2), as redesignated, by striking; or and inserting a period.

Not later than 120 days after the date of the enactment of this Act, and annually thereafter until the date described in subsection (e), the President shall submit to the appropriate congressional committees a report describing exports of Russian-origin petroleum products.

Each report required by subsection (a) shall include the following:

(1) An analysis of the export and sale of Russian-origin petroleum products by the Russian Federation during 2018 and each calendar year thereafter, including—

(A) an estimate of the revenue received by the Russian Federation from such exports and sales;

(B) an estimate of that revenue attributable to the People’s Republic of China;

(C) the number of barrels of crude oil exported from the Russian Federation;

(D) the number of such barrels exported to the People’s Republic of China;

(E) the number of such barrels exported to countries other than the People’s Republic of China;

(F) the average price for each such barrel; and

(G) the average price for each such barrel exported to the People’s Republic of China.

(2) An analysis of the labeling practices of the Russian Federation for exports of Russian-origin petroleum products.

(3) A description of entities involved in the exportation and sale of Russian-origin petroleum products.

(4) A description of vessels involved in such exportation and sale.

(5) A description of ports involved in such exportation and sale.

Each report required by subsection (a) shall be submitted in unclassified form but may include a classified annex.

The unclassified portion of each report required by subsection (a) shall be posted on a publicly available website of the Energy Information Administration.

The requirement to submit reports under this section shall terminate on the date that is 5 years after the date of the enactment of this Act.

Not later than 120 days after the date of the enactment of this Act, the Secretary of State, in consultation with the heads of other appropriate Federal agencies, shall submit to the appropriate congressional committees a written strategy, and provide to those committees an accompanying briefing, on the role of the People’s Republic of China in evasion of sanctions imposed by the United States with respect to Russian-origin petroleum products that includes an assessment of options—

(1) to strengthen the enforcement of such sanctions; and

(2) to expand sanctions designations targeting the involvement of the People’s Republic of China in the production, transportation, storage, refining, and sale of Russian-origin petroleum products.

The strategy required by subsection (a) shall include—

(1) a description and assessment of the use of sanctions in effect before the date of the enactment of this Act to target individuals and entities of the People’s Republic of China that are directly or indirectly associated with smuggling of Russian-origin petroleum products;

(2) an assessment of—

(A) Russian-owned entities operating in the People’s Republic of China and involved in petroleum refining supply chains;

(B) the People’s Republic of China’s role in Russian petroleum refining supply chains;

(C) how the People’s Republic of China leverages its role in Russian petroleum supply chains to achieve political objectives; and

(D) what percent of the energy consumption of the People’s Republic of China is linked to imported Russian-origin petroleum products;

(3) a detailed plan for—

(A) monitoring the maritime domain for sanctionable activity related to smuggling of Russian-origin petroleum products;

(B) identifying the individuals, entities, and vessels engaging in sanctionable activity related to Russian-origin petroleum products, including—

(i) vessels—

(I) transporting petrochemicals subject to sanctions;

(II) conducting ship-to-ship transfers of such petrochemicals;

(III) with deactivated automatic identification systems; or

(IV) that engage in flag hopping by changing national registries;

(ii) individuals or entities—

(I) storing petrochemicals subject to sanctions; or

(II) refining or otherwise processing such petrochemicals; and

(iii) through the use of port entry and docking permission of vessels subject to sanctions;

(C) deterring individuals and entities from violating sanctions by educating and engaging—

(i) insurance providers;

(ii) parent companies; and

(iii) vessel operators;

(D) collaborating with allies and partners of the United States engaged in the Northern Europe, including through standing or new maritime task forces, to build sanctions enforcement capacity through assistance and training to defense and law enforcement services; and

(E) using public communications and global diplomatic engagements to highlight the role of smuggling of Russian-origin petroleum products in bolstering the Russian Federation’s war efforts in Ukraine and support for other malign activity; and

(4) an assessment of—

(A) the total number of vessels smuggling Russian-origin petroleum products;

(B) the total number of vessels smuggling such products destined for the People’s Republic of China;

(C) interference by the People’s Republic of China with attempts by the United States, the United Kingdom, or the European Union to investigate or enforce sanctions with respect to Russian-origin petroleum products;

(D) the effectiveness of the use of sanctions with respect to insurers of entities that own or operate vessels involved in smuggling Russian-origin petroleum products;

(E) the personnel and resources needed to enforce sanctions with respect to Russian-origin petroleum products; and

(F) the impact of smuggled Russian-origin petroleum products on global energy markets.

The strategy required by subsection (a) shall be submitted in unclassified form but may include a classified index.

Not later than 60 days after the date of the enactment of this Act, and every 90 days thereafter, the Secretary of State, in consultation with the Secretary of the Treasury, shall submit to the appropriate congressional committees a report that identifies, for the period covered by the report each foreign person that the Secretary of State, in consultation with the Secretary of the Treasury and the Secretary of Commerce, determines has knowingly—

(1) sold, leased, provided, or facilitated selling, leasing, or providing goods or services relating to the defense industrial base of the Russian Federation, including—

(A) computer numerical control (CNC) tools and associated machinery, software, and maintenance or upgrade services;

(B) lubricant additives;

(C) semiconductors and associated manufacturing equipment;

(D) items on the Common High Priority Items List maintained by the Bureau of Industry and Security of the Department of Commerce;

(E) nitrocellulose, wood cellulose, and associated additives and components necessary for the production of propellant or energetics for munitions;

(F) fiber optic cables with military applications and associated technologies needed to manufacture such cables;

(G) advanced sensors; and

(H) any additional items identified by the Secretary of State, in consultation with the Secretary of Commerce, that are critical to the defense industrial base of the Russian Federation; or

(2) facilitated deceptive or structured transactions to provide the goods and services described by paragraph (1).

An alien described in paragraph (2) shall be—

(i) inadmissible to the United States;

(ii) ineligible to receive a visa or other documentation to enter the United States; and

(iii) otherwise ineligible to be admitted or paroled into the United States or to receive any other benefit under the Immigration and Nationality Act (8. U.S.C. 1101 et seq.).

The visa or other entry documentation of an alien described in paragraph (2) shall be revoked, regardless of when such visa or other entry documentation is or was issued.

A revocation under clause (i) shall—

(I) take effect immediately; and

(II) automatically cancel any other valid visa or entry documentation that is in the possession of the alien.

An alien described in this paragraph is an alien who is—

(A) identified in a report required by subsection (a);

(B) a corporate officer of a foreign entity identified in that report; or

(C) a principal shareholder with a controlling interest in a foreign entity described in subparagraph (A).

The President shall exercise all powers granted to the President by the International Emergency Economic Powers Act (50 U.S.C. 1701 et seq.) to the extent necessary to block and prohibit all transactions in all property and interests in property of any person identified in a report required by subsection (a) if such property and interests in property are in the United States, come within the United States, or are or come within the possession or control of a United States person.

The President may not impose sanctions under this section with respect to a person identified in the first report submitted pursuant to subsection (a) if the President certifies in such report that the person has, not later than 30 days after the date of the enactment of this Act, engaged in good faith efforts to wind down operations that would otherwise subject the person to the imposition of sanctions under this section.

The sanctions described in this section to be imposed with respect to a foreign person are the following:

The President shall exercise all of the powers granted to the President under the International Emergency Economic Powers Act (50 U.S.C. 1701 et seq.) to the extent necessary to block and prohibit all transactions in property and interests in property of the foreign person if such property and interests in property are in the United States, come within the United States, or are or come within the possession or control of a United States person.

A foreign person that is an alien is—

(i) inadmissible to the United States;

(ii) ineligible to receive a visa or other documentation to enter the United States; and

(iii) otherwise ineligible to be admitted or paroled into the United States or to receive any other benefit under the Immigration and Nationality Act (8 U.S.C. 1101 et seq.).

A foreign person that is an alien is subject to revocation of any visa or other entry documentation regardless of when the visa or other entry documentation is or was issued.

A revocation under clause (i) shall take effect immediately and automatically cancel any other valid visa or entry documentation that is in the alien's possession.

A requirement to block and prohibit all transactions in all property and interests in property under this title shall not include the authority or a requirement to impose sanctions on the importation of goods.

In this paragraph, the term good means any article, natural or manmade substance, material, supply, or manufactured product, including inspection and test equipment, and excluding technical data.

Sanctions under this title shall not apply with respect to the admission of an alien to the United States if admitting or paroling the alien into the United States is necessary—

(A) to permit the United States to comply with the Agreement regarding the Headquarters of the United Nations, signed at Lake Success June 26, 1947, and entered into force November 21, 1947, between the United Nations and the United States, or other applicable international obligations of the United States; or

(B) to carry out or assist authorized law enforcement activity in the United States.

Sanctions under this title shall not apply to any activity subject to the reporting requirements under title V of the National Security Act of 1947 (50 U.S.C. 3091 et seq.) or any authorized intelligence activities of the United States.

Sanctions under this title shall not apply to—

(i) the conduct or facilitation of a transaction for the provision of agricultural commodities, food, medicine, medical devices, humanitarian assistance, or for humanitarian purposes; or

(ii) transactions that are necessary for or related to the activities described in clause (i).

In this paragraph:

The term agricultural commodity has the meaning given that term in section 102 of the Agricultural Trade Act of 1978 (7 U.S.C. 5602).

The term medical device has the meaning given the term device in section 201 of the Federal Food, Drug, and Cosmetic Act (21 U.S.C. 321).

The term medicine has the meaning given the term drug in section 201 of the Federal Food, Drug, and Cosmetic Act (21 U.S.C. 321).

Sanctions under this title shall not apply with respect to a person providing provisions to a vessel otherwise subject to sanctions under this title if such provisions are intended for the safety and care of the crew aboard the vessel, the protection of human life aboard the vessel, or the maintenance of the vessel to avoid any environmental or other significant damage.

Not later than 1 year after the date of the enactment of this Act, and annually thereafter, the President shall submit to the appropriate congressional committees a report that describes each activity that would be sanctionable under this title if not covered by an exception under this subsection.

The President may, on a case-by-case basis and for periods not to exceed 180 days each, waive the application of sanctions imposed with respect to a foreign vessel or a foreign person under this title if the President certifies to the appropriate congressional committees, not later than 15 days after such waiver is to take effect, that the waiver is in the national security interests of the United States.

The President shall not be required to impose sanctions under this title with respect to a foreign person who has engaged in activity subject to sanctions under this title if the President certifies in writing to the appropriate congressional committees that the foreign person—

(A) is no longer engaging in such activities; or

(B) has taken and is continuing to take significant, verifiable steps toward permanently terminating such activities.

Nothing in this section shall be construed to affect the availability of any existing authorities to issue waivers, exceptions, exemptions, licenses, or other authorization.

The President may exercise all authorities under sections 203 and 205 of the International Emergency Economic Powers Act (50 U.S.C. 1702 and 1704) for purposes of carrying out this title.

A person that violates, attempts to violate, conspires to violate, or causes a violation of this title or any regulation, license, or order issued to carry out this title shall be subject to the penalties set forth in subsections (b) and (c) of section 206 of the International Emergency Economic Powers Act (50 U.S.C. 1705) to the same extent as a person that commits an unlawful act described in subsection (a) of that section.

Not later than 180 days after the date of the enactment of this Act, the President shall prescribe such regulations as may be necessary for the implementation of this title.

Not later than 10 days before the prescription of regulations under paragraph (1), the President shall brief and provide written notification to the appropriate congressional committees regarding—

(A) the proposed regulations; and

(B) the specific provisions of this title that the regulations are implementing.

The President shall determine, at such times as are required under subsection (b), whether—

(1) the Government of the Russian Federation, including through any of its proxies, is engaged in or knowingly supporting an escalation of military measures in the Gulf of Finland, the Baltic Sea, or the Straits of Denmark, including to deter members of the North Atlantic Treaty Organization from inspecting vessels transporting Russian-origin petroleum products or posing a threat to undersea infrastructure to ensure such vessels are adhering to accepted maritime standards; and

(2) if the President makes a positive determination under paragraph (1), whether that escalation—

(A) has the aim or effect of undermining sanctions enforcement; or

(B) increases the risk of an incident at sea, including damage to undersea cable infrastructure.

The President shall make the determination described in subsection (a)—

(1) not later than 15 days after the date of the enactment of this Act;

(2) after the first determination under paragraph (1), not less frequently than every 30 days (or more frequently as warranted) during the 1-year period beginning on such date of enactment; and

(3) after the end of that 1-year period, not less frequently than every 90 days.

Upon making a determination under subsection (a), the President shall submit a report on the determination to—

(1) the committees specified in subsection (d);

(2) the majority leader and the minority leader of the Senate; and

(3) the Speaker and the minority leader of the House of Representatives.

The committees specified in this subsection are—

(1) the Committee on Foreign Relations, the Committee on Armed Services, and the Select Committee on Intelligence of the Senate; and

(2) the Committee on Foreign Affairs, the Committee on Armed Services, and the Permanent Select Committee on Intelligence of the House of Representatives.

It is the sense of Congress that sanctions are a vital foreign policy and national security tool, and as such, it is critical that the Department of State and other agencies with responsibilities relating to sanctions across the executive branch—

(1) are fully staffed, including through the prompt confirmation by the Senate of a qualified head of the Office of Sanctions Coordination of the Department of State; and

(2) have the resources and infrastructure necessary for the successful development and implementation of sanctions.

The head of the Office of Sanctions Coordination shall take steps to modernize the sanctions infrastructure and increase resources dedicated to implementing sanctions, including by—

(1) ensuring the Department of State has necessary subscriptions and access to open-source databases for purposes of making determinations to support the designation of persons for the imposition of sanctions;

(2) equipping bureaus involved in drafting and reviewing evidentiary packages to support such designations with sufficient technical resources to do so, including an adequate number of workstations that can be used to review classified information; and

(3) increasing the number of personnel dedicated to making and reviewing such designations.

Not later than 180 days after the date of the enactment of this Act, the head of the Office of Sanctions Coordination shall submit to the Committee on Foreign Relations of the Senate and the Committee on Foreign Affairs of the House of Representatives a report describing steps the Department of State is taking to address challenges in the ability of the Department to support the designation of persons for the imposition of sanctions.

There is authorized to be appropriated to the Office of Sanctions Coordination for each of fiscal years 2026 and 2027 $15,000,000 to carry out this section.

There is authorized to be appropriated to the Office of Foreign Assets Control of the Department of the Treasury for each of fiscal years 2026 and 2027 $15,000,000 to carry out this section.

Section 1232 of the National Defense Authorization Act for Fiscal Year 2017 (Public Law 114–328; 130 Stat. 2488) is amended—

(1) by striking subsections (c) and (d); and

(2) by redesignating subsections (e) and (f) as subsections (c) and (d), respectively.

There is authorized to be appropriated, out of any money in the Treasury not otherwise appropriated, $200,000,000 to the Secretary of State for fiscal years 2026 and 2027 for the Countering Russian Influence Fund to provide additional support to Ukraine and allies of the United States in Central and Eastern Europe in the wake of aggression by the Russian Federation, including assistance combating Russian Federation information operations, sabotage activities, cyber threats, and security threats.

The amounts provided under paragraph (1) are designated as an emergency requirement pursuant to section 4(g) of the Statutory Pay-As-You-Go Act of 2010 (2 U.S.C. 933(g)).

This subsection is designated as an emergency requirement pursuant to subsections (a) and (b) of section 4001 of S. Con. Res. 14 (117th Congress), the concurrent resolution on the budget for fiscal year 2022.

Not later than 90 days after the date of the enactment of this Act, and every 180 days thereafter, the Secretary of State shall submit to the appropriate committees of Congress a report that contains a description of the activities carried out pursuant to this section.

The strategy required by paragraph (1) shall be submitted in unclassified form, but may include a classified annex if necessary.

In this section, the term appropriate committees of Congress means—

(1) the Committee on Foreign Relations and the Committee on Appropriations of the Senate; and

(2) the Committee on Foreign Affairs and the Committee on Appropriations of the House of Representatives.

Not later than 30 days after the date of the enactment of this Act, and every 30 days thereafter, the Secretary of State and the Secretary of Defense shall jointly submit to the appropriate committees of Congress a report that includes—

(1) the status of remaining amounts available for Ukraine under the Presidential drawdown authority provided in the Additional Ukraine Supplemental Appropriations Act, 2022 (Public Law 117–128; 136 Stat. 1211) and the Ukraine Security Supplemental Appropriations Act (Public Law 118–50; 138 Stat. 905);

(2) a description of all defense articles and services provided to Ukraine under Presidential drawdown authority, Foreign Military Financing, and the Ukraine Security Assistance Initiative under section 1250 of the National Defense Authorization Act for Fiscal Year 2016 (Public Law 114–92; 129 Stat. 1068); and

(3) a description of the readiness requirements, valuations, and replenishment calculations used to determine the availability of inventory to transfer to Ukraine.

In this section, the term appropriate committees of Congress means—

(1) the Committee on Foreign Relations, the Committee on Armed Services, and the Committee on Appropriations of the Senate; and

(2) the Committees on Foreign Affairs, the Committee on Armed Services, and the Committee on Appropriations of the House of Representatives.

For any letter of offer to sell or license to export defense articles or defense services to Ukraine that would require a numbered certification to Congress required by section 36 of the Arms Export Control Act (22 U.S.C. 2776), the President shall not offer such letter of offer or issue such license until 15 days have elapsed from the time such numbered certification is provided to Congress, notwithstanding the requirements of such section for 30 days, and any joint resolution of disapproval shall be eligible for a motion to discharge from the Committee on Foreign Relations of the Senate 5 days after introduction.

This Act may be cited as the Sanctioning Harborers And Dodgers Of Western Sanctions Act of 2026 or the SHADOW Fleet Sanctions Act of 2026.

The table of contents for this Act is as follows:

In this title:

The term adequate maritime insurance means—

(i) verified documentation evidencing protection and indemnity insurance, cargo insurance, and hull and machinery insurance, with audited financial statements of the insurer;

(ii) records demonstrating compliance with relevant statutes and regulations regarding the insured subject matter; and

(iii) a commitment to provide, upon reasonable request, evidence needed by the insurer, reinsurer, or broker to satisfy themselves or any regulator of such compliance.

The term adequate maritime insurance does not include insurance provided by an insurer that—

(i) is organized under the laws of the Russian Federation; and

(ii) continues to provide coverage to any vessel designated for the imposition of sanctions under the laws of the United States, the European Union, or the United Kingdom without a specific waiver of or exception to the application of such sanctions.

The terms admitted, alien, and lawfully admitted for permanent residence have the meanings given those terms in section 101 of the Immigration and Nationality Act (8 U.S.C. 1101).

The term appropriate congressional committees means—

(A) the Committee on Foreign Relations and the Committee on Banking, Housing, and Urban Affairs of the Senate; and

(B) the Committee on Foreign Affairs and the Committee on Financial Services of the House of Representatives.

The term beneficial owner means, with respect to a vessel, any individual who, directly or indirectly, through any contract, arrangement, understanding, relationship, or otherwise—

(A) exercises substantial control over the vessel; or

(B) owns not less than 25 percent of the vessel.

The term crude oil price cap means the price cap for crude oil and petroleum products that originated in the Russian Federation established by the Price Cap Coalition.

The term foreign person means an individual or entity that is not a United States person.

The term foreign vessel means a vessel that is not a vessel of the United States (as defined in section 116 of title 46, United States Code).

The term knowingly, with respect to conduct, a circumstance, or a result, means that a person has actual knowledge, or should have known, of the conduct, the circumstance, or the result.

The term petroleum product means oil of any kind or in any form, crude oil, gasoline, diesel fuel, aviation fuel, fuel oil, kerosene, any product obtained from refining or processing of crude oil, liquefied petroleum gases, natural gas liquids, petrochemical feedstocks, condensate, waste or refuse mixtures containing any of such oil products, and any other liquid hydrocarbon compounds.

The term Price Cap Coalition means the international coalition made up of Australia, New Zealand, Canada, the European Union, France, Germany, Italy, Japan, the United Kingdom, and the United States and known as the Price Cap Coalition.

The term Russian-origin petroleum product means a petroleum product extracted, refined, processed, or otherwise produced in the Russian Federation.

The term Russian person means—

(A) a citizen or national of the Russian Federation; or

(B) an entity organized under the laws of the Russian Federation or otherwise subject to the jurisdiction of the Government of the Russian Federation.

The term Russian shadow fleet means any foreign vessel or vessels used or directed by or on behalf of the Russian Federation to transport Russian-origin petroleum products in circumvention of sanctions imposed with respect to the Russian Federation by the United States, the United Kingdom, the European Union, or other countries.

The term sabotage activities means actions, or preparations for actions, taken with the intent to cause defective production, operation, or damage to critical undersea infrastructure, including energy pipelines, offshore energy facilities, or subsea power lines and telecommunications cables and associated landing stations and facilities.

The term United States person means—

(A) a United States citizen or an alien lawfully admitted for permanent residence to the United States;

(B) an entity organized under the laws of the United States or of any jurisdiction within the United States, including a foreign branch of such an entity; or

(C) a person in the United States.

Not later than 180 days after the date of the enactment of this Act, the President shall impose the sanctions described in section 191 with respect to any Russian shadow fleet vessel that, on or after the date of the enactment of this Act, transports Russian-origin petroleum products in circumvention of sanctions imposed with respect to the Russian Federation by the United States, the United Kingdom, the European Union, or other countries, including—

(1) any Russian shadow fleet vessel the owner or operator of which knowingly—

(A) exhibits or engages in unsafe or nonstandard maritime behavior in furtherance of the transportation of Russian-origin petroleum products that originated in the Russian Federation;

(B) lacks adequate maritime insurance for the transport of goods described in subparagraph (A); or

(C) evades compliance with the crude oil price cap; and

(2) any foreign person that the President determines knowingly—

(A) owns, operates, or manages a vessel described in paragraph (1);

(B) provides underwriting services or insurance or reinsurance necessary for such a vessel after sanctions are imposed with respect to the vessel;

(C) facilitates deceptive or structured transactions to support a vessel described in paragraph (1);

(D) provides services or facilities for technology upgrades or installation of equipment for, or retrofitting or tethering of, a vessel described in paragraph (1) for the purpose of evading sanctions;

(E) provided services for the testing, inspection, or certification for a vessel described in paragraph (1) for the purpose of evading sanctions;

(F) serves as a master of such a vessel; or

(G) transfers to the Russian Federation any foreign vessel designed to transport Russian-origin petroleum products.

Not later than 180 days after the date of the enactment of this Act, the President may impose the sanctions described in section 191 with respect to any vessel that, on or after such date of enactment, is—

(1) subject to sanctions with respect to the Russian Federation imposed by the United Kingdom, the European Union, the Group of 7, or a member of the Five Eyes intelligence alliance; or

(2) owned or operated by a person subject to such sanctions.

In determining under subsection (a)(1)(A) if a vessel is exhibiting or engaged in unsafe or nonstandard maritime behavior, the President may use as prima facie evidence that the vessel is exhibiting or engaged in such behavior if the vessel has exhibited 3 or more indicators of such behavior, including the following:

(1) Has refused to take on a pilot in accordance with best practices of the International Maritime Organization.

(2) Does not respond when hailed by appropriate maritime authority.

(3) Turns off the Automatic Identification System of the vessel without explanation or report to the appropriate maritime authority within a reasonable period of time.

(4) Engages in unsafe maritime maneuvers with another vessel.

(5) Is uninsured or underinsured, including any vessel that is insured by an insurance company organized under the laws of the Russian Federation or the Islamic Republic of Iran.

(6) Is single-hulled contrary to standards of the International Maritime Organization.

(7) Has changed ownership or flag registry more than once in the previous year.

(8) Has a history of deliberately losing power or turning off transmitters without a compelling security need.

(9) Has not been properly maintained, based on credible evidence.

(10) Has been involved in a recent maritime or environmental incident.

(11) Is escorted by the military of the Russian Federation.

(12) Has engaged in sabotage activities.

Not later than 180 days after the date of the enactment of this Act, and every 180 days thereafter, the President shall submit to the appropriate congressional committees a report that describes any sanctions imposed under this section, including a brief description of each foreign person and foreign vessel with respect to which sanctions are imposed and the justification for such sanctions.

Not later than 180 days after the date of the enactment of this Act, the President shall impose the sanctions described in section 191 with respect to a foreign person if the President determines that the foreign person, on or after the date of the enactment of this Act, has engaged in a transaction described in subsection (b) with a Russian shadow fleet vessel that is subject to sanctions imposed by the United States.

A transaction described in this subsection is any of the following:

(1) The conduct of any ship-to-ship transfer involving Russian-origin petroleum products with a Russian shadow fleet vessel.

(2) The provision of significant goods or services in support of a Russian shadow fleet vessel with the knowledge that the vessel is subject to sanctions imposed by the United States, unless such goods or services are provided to respond to an emergency.

(3) In the case of the owner or operator of a foreign port, allowing a Russian shadow fleet vessel to port or otherwise receive services at the foreign port, unless that vessel needs to port or receive services as a result of an emergency.

(4) In the case of a foreign person that is the owner or operator of a refinery, knowingly engaging in a transaction to process, refine, or otherwise deal in any Russian Federation-origin petroleum products that were transported on a Russian shadow fleet vessel.

Beginning on the date that is 15 days after the date of the enactment of this Act, the President may impose the sanctions described in section 191 with respect to any foreign person that owns or operates a port in the People’s Republic of China or the Republic of India that accepts oil from—

(1) foreign vessels transporting Russian-origin crude oil for sale at a price higher than the maximum price agreed to by the Price Cap Coalition or any related price cap established by the United States; or

(2) foreign vessels with respect to which the United States has imposed sanctions.

Not later than 180 days after the date of the enactment of this Act, and every 180 days thereafter, the Secretary of State, through the head of the Office of Sanctions Coordination and in coordination with the Secretary of the Treasury and the Director of the Office of Foreign Assets Control of the Department of the Treasury, shall submit to the appropriate congressional committees a report that includes a list of each foreign vessel subject to sanctions imposed by the European Union or the United Kingdom that is determined to operate as part of the Russian shadow fleet.

For any vessel listed in a report under paragraph (1) that is not subject to sanctions imposed by the United States, the report shall include the justification provided by the European Union or the United Kingdom, as the case may be, for designation of the vessel (if that justification is available to the public) and a brief justification of the reason provided by the European Union or the United Kingdom.

Not later than 180 days after the date of the enactment of this Act, the Secretary of State, through the head of the Office of Sanctions Coordination and in coordination with the Secretary of the Treasury and the Director of the Office of Foreign Assets Control, shall produce a strategy for enhancing alignment of sanctions designation authorities of the United States regarding vessels supporting the Russian shadow fleet with those authorities of the European Union and the United Kingdom.

It is the sense of Congress that the United States supports the efforts of the Joint Expeditionary Force to track, monitor, deter, and if necessary, respond to operations and illicit activities of the Russian shadow fleet.

It shall be the policy of the United States to use relevant maritime elements of the United States Government to support and amplify the authorized efforts of the Joint Expeditionary Force.

Not later than 90 days after the date of the enactment of this Act, and every 90 days thereafter, the Secretary of State, in coordination with the Secretary of the Treasury, shall submit to the appropriate congressional committees a report listing any specific license granted or in effect under Executive Order 14024 (50 U.S.C. 1701 note; relating to blocking property with respect to specified harmful foreign activities of the Government of the Russian Federation).

Each report required under subsection (a) shall be submitted in classified form.

It is the policy of the United States that the government of a country is complying with the minimum standards required by the United States for maintaining an open flag registry if, on balance, the government—

(1) has enacted and implemented laws and established government structures, policies, and practices that prohibit and generally deter the use of its flag registry as a mechanism to circumvent sanctions imposed by the United States, the United Kingdom, the European Union, or other Group of 7 countries, including prohibiting its flag to continue to fly on vessels that are subject to sanctions imposed by any such country or jurisdiction;

(2) has enacted and implemented laws and established government structures, policies, and practices that prohibit and generally deter the use of its flag registry to avoid detection of illicit activities, including drug trafficking, illicit arms shipments, human trafficking, and illegal, unreported, and unregulated fishing activities;

(3) enforces the laws described in paragraphs (1) and (2) by punishing any person found, through a fair judicial process, to have violated those laws;

(4) takes steps to ensure ships flying its flag comply with well-established industry standards and best practices relating to maritime activities, including adhering to resolutions and warnings promulgated by the International Maritime Organization, such as Resolution A.1192(33) (December 6, 2023) relating to urging member states and all relevant stakeholders to promote actions to prevent illegal operations in the maritime sector by the dark fleet or shadow fleet;

(5) responds to credible reports from other countries and private entities warning of vessels flying its flag engaging in maritime behavior that poses safety risks, such as not allowing pilot access or turning off Automatic Identification Systems without adequate justification;

(6) takes steps to ensure vessels flying its flag adhere to measures that lawfully prohibit and regulate ship-to-ship transfers of oil or petroleum products subject to sanctions;

(7) takes steps to ensure vessels flying its flag possess adequate and credible insurance to cover the costs of maritime accidents;

(8) takes steps to ensure vessels are operating under transparent ownership structures, including by verifying the beneficial ownership and management of vessels; and

(9) takes steps to ensure vessels do not avoid flag state or port state control inspections or avoid commercial screenings and inspections.

Not later than one year after the date of the enactment of this Act, and annually thereafter through 2030, the Secretary of State, in consultation with the heads of appropriate Federal agencies, shall—

(1) conduct an assessment of countries that do not meet the minimum standards for operating as a flag state registry in compliance with United States policy, including the standards described in section 131; and

(2) submit to the appropriate congressional committees a strategy for identifying and engaging with those countries.

The Secretary of the Treasury, in coordination with the Secretary of State, shall—

(1) fully monitor international compliance with the crude oil price cap within the jurisdiction of the United States, to the extent such a price cap remains active and relevant to efforts of the United States and allies of the United States to constrain exports of Russian-origin petroleum products;

(2) engage, advise, and assist foreign governments in joining and implementing efforts to enforce the crude oil price cap;

(3) engage with the governments of countries that import or facilitate the transport of crude oil of Russian Federation origin or refined petroleum products made from such oil to identify entities evading the crude oil price cap and deploy resources aimed at enforcement and compliance; and

(4) consider which countries play a significant role in exporting such oil or petroleum products or in evading sanctions when selecting locations to assign Treasury Financial Attachés under section 316 of title 31, United States Code.

Not later than 180 days after the date of the enactment of this Act, and every 2 years thereafter, the Secretary of the Treasury, in coordination with the Secretary of State, the Secretary of Commerce, and the Secretary of Energy, shall submit to the appropriate congressional committees a classified report that includes the following and all related material information:

(1) A determination of whether crude oil of Russian Federation origin or refined petroleum products made from such oil are entering the United States.

(2) A description of efforts undertaken by the executive branch to monitor and prevent the importation of such oil and petroleum products.

(3) A description and assessment of efforts undertaken by the Department of State to engage countries, individuals, entities, port stakeholders, and other organizations involved in the maritime oil trade to promote responsible practices, uphold environmental and safety standards, prevent and disrupt trade in goods subject to sanctions imposed by the United States, and enhance compliance with the crude oil price cap.

The requirement to submit reports under subsection (a) shall terminate on the earlier of—

(1) January 1, 2030; or

(2) the date that is 90 days after the termination of the prohibition on importation of energy products of the Russian Federation under section 3 of the Ending Importation of Russian Oil Act (Public Law 117–109; 22 U.S.C. 8923 note).

It shall be the policy of the United States—

(1) to fully promote the recommendations made by Resolution A.1192(33) of the International Maritime Organization, adopted on December 6, 2023;

(2) to use the voice and vote of the United States in international organizations and engage other relevant multilateral bodies, such as the North Atlantic Treaty Organization and the European Union, to strongly encourage the governments of all countries to adopt those recommendations, including the recommendation that a port state, when the state becomes aware of a vessel intentionally taking measures to avoid detection, such as switching off its Automatic Identification System or long-range identification and tracking system transmissions or concealing its actual identity, should, following an initial investigation to verify that the vessel has not stopped transmitting signals for legitimate reasons—

(A) subject the vessel to enhanced inspections as authorized through relevant mechanisms of the port state; and

(B) notify the flag administration of the vessel, as appropriate; and

(3) to encourage governments of all countries to deny access to ports and services for any vessel that, following an initial investigation, is found to have turned off its transponder or entered false information for the purpose of conducting a transfer of or transaction for crude oil of Russian Federation origin or refined petroleum products made from such oil in violation of the crude oil price cap.

Not later than 30 days after the date of the enactment of this Act, the President shall impose the sanctions described in section 191 with respect to any foreign person the President determines is, on or after such date of enactment, a leader, official, senior executive officer, or member of the board of directors of, or principal shareholder with a controlling or majority interest in, any of the following Russian energy projects:

(1) The Yamal Liquified Natural Gas Product or a successor project.

(2) The Arctic 1, 2, and 3 Liquified Natural Gas Projects or a successor project.

(3) Any project in the Arctic region or the Russian Far East carried out after the date of the enactment of this Act.

It is the sense of Congress that—

(1) countries that rely on Russian energy projects, including Sakhalin-1 and Sakhalin-2, TurkStream 1 and 2, and the Druzhba pipeline, should work to expeditiously end their dependence on such projects and diversify their sources of energy to exports from other countries, including the United States; and

(2) the European Union should remain committed to firm deadlines set forth in the RePowerEU Roadmap for the phasing out of energy exported from the Russian Federation.

Not later than 120 days after the date of the enactment of this Act, the Secretary of State, in consultation with the heads of other appropriate Federal agencies, shall submit to the appropriate congressional committees a written strategy, and provide to those committees an accompanying briefing, on the role of the People’s Republic of China in evasion of sanctions imposed by the United States with respect to Russian-origin petroleum products that includes an assessment of options—

(1) to strengthen the enforcement of such sanctions; and

(2) to expand sanctions designations targeting the involvement of the People’s Republic of China in the production, transportation, storage, refining, and sale of Russian-origin petroleum products.

The strategy required by subsection (a) shall include—

(1) a description and assessment of the use of sanctions in effect before the date of the enactment of this Act to target individuals and entities of the People’s Republic of China that are directly or indirectly associated with smuggling of Russian-origin petroleum products;

(2) an assessment of—

(A) Russian-owned entities operating in the People’s Republic of China and involved in petroleum refining supply chains;

(B) the People’s Republic of China’s role in Russian petroleum refining supply chains;

(C) how the People’s Republic of China leverages its role in Russian petroleum supply chains to achieve political objectives; and

(D) what percent of the energy consumption of the People’s Republic of China is linked to imported Russian-origin petroleum products;

(3) a detailed plan for—

(A) monitoring the maritime domain for sanctionable activity related to the transportation of Russian-origin petroleum products;

(B) identifying the individuals, entities, and vessels engaging in sanctionable activity related to Russian-origin petroleum products, including—

(i) vessels—

(I) transporting petrochemicals of Russian Federation origin;

(II) conducting ship-to-ship transfers of such petrochemicals;

(III) with deactivated automatic identification systems; or

(IV) that engage in flag hopping by frequently changing national registries;

(ii) individuals or entities—

(I) storing petrochemicals subject to sanctions; or

(II) refining or otherwise processing such petrochemicals; and

(iii) through the use of port entry and docking permission of vessels subject to sanctions;

(C) deterring individuals and entities from violating sanctions by educating and engaging—

(i) insurance providers;

(ii) parent companies; and

(iii) vessel operators;

(D) collaborating with allies and partners of the United States engaged in the Northern Europe, including through standing or new maritime task forces, to build sanctions enforcement capacity through assistance and training to defense and law enforcement services; and

(E) using public communications and global diplomatic engagements to highlight the role of smuggling of Russian-origin petroleum products in bolstering the Russian Federation’s war efforts in Ukraine and support for other malign activity; and

(4) an assessment of—

(A) the total number of vessels transporting Russian-origin petroleum products;

(B) the total number of vessels smuggling such products destined for the People’s Republic of China;

(C) interference by the People’s Republic of China with attempts by the United States, the United Kingdom, or the European Union to investigate or enforce sanctions with respect to Russian-origin petroleum products;

(D) the effectiveness of the use of sanctions with respect to insurers of entities that own or operate vessels involved in transporting Russian-origin petroleum products;

(E) the personnel and resources needed to enforce sanctions with respect to Russian-origin petroleum products; and

(F) the impact of smuggled Russian-origin petroleum products on global energy markets.

The strategy required by subsection (a) shall be submitted in unclassified form but may include a classified index.

Not later than 60 days after the date of the enactment of this Act, and every 90 days thereafter, the Secretary of State, in consultation with the Secretary of the Treasury, shall submit to the appropriate congressional committees a report that identifies, for the period covered by the report each foreign person that the Secretary of State, in consultation with the Secretary of the Treasury and the Secretary of Commerce, determines has knowingly—

(1) sold, leased, provided, or facilitated selling, leasing, or providing goods or services relating to the defense industrial base of the Russian Federation, including—

(A) computer numerical control (CNC) tools and associated machinery, software, and maintenance or upgrade services;

(B) lubricant additives;

(C) semiconductors and associated manufacturing equipment;

(D) items on the Common High Priority Items List maintained by the Bureau of Industry and Security of the Department of Commerce;

(E) nitrocellulose, wood cellulose, and associated additives and components necessary for the production of propellant or energetics for munitions;

(F) fiber optic cables with military applications and associated technologies needed to manufacture such cables;

(G) advanced sensors; and

(H) any additional items identified by the Secretary of State, in consultation with the Secretary of Commerce, that are critical to the defense industrial base of the Russian Federation; or

(2) facilitated deceptive or structured transactions to provide the goods and services described by paragraph (1).

An alien described in paragraph (2) shall be—

(i) inadmissible to the United States;

(ii) ineligible to receive a visa or other documentation to enter the United States; and

(iii) otherwise ineligible to be admitted or paroled into the United States or to receive any other benefit under the Immigration and Nationality Act (8 U.S.C. 1101 et seq.).

The visa or other entry documentation of an alien described in paragraph (2) shall be revoked, regardless of when such visa or other entry documentation is or was issued.

A revocation under clause (i) shall—

(I) take effect immediately; and

(II) automatically cancel any other valid visa or entry documentation that is in the possession of the alien.

An alien described in this paragraph is an alien who is—

(A) identified in a report required by subsection (a);

(B) a corporate officer of a foreign entity identified in that report; or

(C) a principal shareholder with a controlling interest in a foreign entity described in subparagraph (A).

The President shall exercise all powers granted to the President by the International Emergency Economic Powers Act (50 U.S.C. 1701 et seq.) to the extent necessary to block and prohibit all transactions in all property and interests in property of any person identified in a report required by subsection (a) if such property and interests in property are in the United States, come within the United States, or are or come within the possession or control of a United States person.

The President may not impose sanctions under this section with respect to a person identified in the first report submitted pursuant to subsection (a) if the President certifies in such report that the person has, not later than 30 days after the date of the enactment of this Act, engaged in good faith efforts to wind down operations that would otherwise subject the person to the imposition of sanctions under this section.

Section 7503 of the Protecting Europe’s Energy Security Act of 2019 (title LXXV of Public Law 116–92; 22 U.S.C. 9526 note) is amended—

(1) in subsection (a)(1)(B)(v), by striking the Nord Stream 2 pipeline and inserting the Nord Stream 1 pipeline, the Nord Stream 2 pipeline, or a successor to either such pipeline;

(2) in subsection (e)—

(A) by striking paragraph (4); and

(B) by redesignating paragraphs (5) and (6) as paragraphs (4) and (5), respectively;

(3) by amending subsection (f) to read as follows:

The President may waive the application of sanctions under this section if—

(A) the President—

(i) determines such a waiver is in the national security interests of the United States; and

(ii) not later than 30 days before the waiver takes effect, submits to the appropriate congressional committees a report on the waiver and the reasons for the waiver; and

(B) a joint resolution prohibiting the waiver is not enacted into law during the 30-day period described in subparagraph (A)(ii).

A joint resolution described in paragraph (1)(B) introduced in either House of Congress shall be considered in accordance with the provisions of section 601(b) of the International Security Assistance and Arms Export Control Act of 1976 (Public Law 94–329; 90 Stat. 765), except that the resolution shall be subject to germane amendments.

If joint resolution described in paragraph (1)(B) is vetoed by the President, the time for debate in consideration of the veto message on the resolution shall—

(i) in the Senate, be limited to 20 hours; and

(ii) in the House of Representatives, be determined in accordance with the Rules of the House.

(3) ; and

(4) in subsection (h)—

(A) by striking paragraph (2);

(B) by striking terminate and all that follows through the date on which and inserting terminate on the date on which;

(C) by redesignating subparagraphs (A) and (B) as paragraphs (1) and (2), respectively, and by moving such paragraphs, as so redesignated, 2 ems to the left; and

(D) in paragraph (2), as redesignated, by striking; or and inserting a period.

The sanctions described in this section to be imposed with respect to a foreign person are the following:

The President shall exercise all of the powers granted to the President under the International Emergency Economic Powers Act (50 U.S.C. 1701 et seq.) to the extent necessary to block and prohibit all transactions in property and interests in property of the foreign person if such property and interests in property are in the United States, come within the United States, or are or come within the possession or control of a United States person.

A foreign person that is an alien is—

(i) inadmissible to the United States;

(ii) ineligible to receive a visa or other documentation to enter the United States; and

(iii) otherwise ineligible to be admitted or paroled into the United States or to receive any other benefit under the Immigration and Nationality Act (8 U.S.C. 1101 et seq.).

A foreign person that is an alien is subject to revocation of any visa or other entry documentation regardless of when the visa or other entry documentation is or was issued.

A revocation under clause (i) shall take effect immediately and automatically cancel any other valid visa or entry documentation that is in the alien's possession.

A requirement to block and prohibit all transactions in all property and interests in property under this title shall not include the authority or a requirement to impose sanctions on the importation of goods.

In this paragraph, the term good means any article, natural or manmade substance, material, supply, or manufactured product, including inspection and test equipment, and excluding technical data.

Sanctions under this title shall not apply with respect to the admission of an alien to the United States if admitting or paroling the alien into the United States is necessary—

(A) to permit the United States to comply with the Agreement regarding the Headquarters of the United Nations, signed at Lake Success June 26, 1947, and entered into force November 21, 1947, between the United Nations and the United States, or other applicable international obligations of the United States; or

(B) to carry out or assist authorized law enforcement activity in the United States.

Sanctions under this title shall not apply to any activity subject to the reporting requirements under title V of the National Security Act of 1947 (50 U.S.C. 3091 et seq.) or any authorized intelligence activities of the United States.

Sanctions under this title shall not apply to—

(i) the conduct or facilitation of a transaction for the provision of agricultural commodities, food, medicine, medical devices, humanitarian assistance, or for humanitarian purposes; or

(ii) transactions that are necessary for or related to the activities described in clause (i).

In this paragraph:

The term agricultural commodity has the meaning given that term in section 102 of the Agricultural Trade Act of 1978 (7 U.S.C. 5602).

The term medical device has the meaning given the term device in section 201 of the Federal Food, Drug, and Cosmetic Act (21 U.S.C. 321).

The term medicine has the meaning given the term drug in section 201 of the Federal Food, Drug, and Cosmetic Act (21 U.S.C. 321).

Sanctions under this title shall not apply with respect to—

(A) a person providing provisions to a vessel otherwise subject to sanctions under this title if the provisions are intended for—

(i) the safety and care of the crew aboard the vessel;

(ii) the protection of human life aboard the vessel; or

(iii) the maintenance of the vessel to avoid any environmental or other significant damage; or

(B) a person providing services to a vessel otherwise subject to sanctions under this title if—

(i) the vessel fails to meet international maritime vessel safety standards; and

(ii) the services are necessary to ensure the safe decommissioning or destruction of the vessel.

Not later than 1 year after the date of the enactment of this Act, and annually thereafter, the President shall submit to the appropriate congressional committees a report that describes each activity that would be sanctionable under this title if not covered by an exception under this subsection.

The President may, on a case-by-case basis and for periods not to exceed 180 days each, waive the application of sanctions imposed with respect to a foreign vessel or a foreign person under this title if the President certifies to the appropriate congressional committees, not later than 15 days after such waiver is to take effect, that the waiver is in the national security interests of the United States.

The President shall not be required to impose sanctions under this title with respect to a foreign person who has engaged in activity subject to sanctions under this title if the President certifies in writing to the appropriate congressional committees that the foreign person—

(A) is no longer engaging in such activities; or

(B) has taken and is continuing to take significant, verifiable steps toward permanently terminating such activities.

Nothing in this section shall be construed to affect the availability of any existing authorities to issue waivers, exceptions, exemptions, licenses, or other authorization.

The President may exercise all authorities under sections 203 and 205 of the International Emergency Economic Powers Act (50 U.S.C. 1702 and 1704) for purposes of carrying out this title.

A person that violates, attempts to violate, conspires to violate, or causes a violation of this title or any regulation, license, or order issued to carry out this title shall be subject to the penalties set forth in subsections (b) and (c) of section 206 of the International Emergency Economic Powers Act (50 U.S.C. 1705) to the same extent as a person that commits an unlawful act described in subsection (a) of that section.

The requirements and authorities to impose sanctions under subtitles A, B, and C, and any sanctions imposed under those subtitles, shall terminate on the date that is 10 years after the date of the enactment of this Act.

The President may determine, at such times as are required under subsection (b), whether—

(1) the Government of the Russian Federation, including through any of its proxies, is engaged in or knowingly supporting an escalation of military measures in the Gulf of Finland, the Baltic Sea, or the Straits of Denmark, including to deter members of the North Atlantic Treaty Organization from inspecting vessels transporting Russian-origin petroleum products or posing a threat to undersea infrastructure to ensure such vessels are adhering to accepted maritime standards; and

(2) if the President makes a positive determination under paragraph (1), whether that escalation increases the risk of an incident at sea, including damage to undersea cable infrastructure.

The President may make the determination described in subsection (a)—

(1) not later than 15 days after the date of the enactment of this Act;

(2) after the first determination under paragraph (1), not less frequently than every 30 days (or more frequently as warranted) during the 1-year period beginning on such date of enactment; and

(3) after the end of that 1-year period, not less frequently than every 90 days.

Upon making a determination under subsection (a), the President shall submit a report on the determination to—

(1) the committees specified in subsection (d);

(2) the majority leader and the minority leader of the Senate; and

(3) the Speaker and the minority leader of the House of Representatives.

The committees specified in this subsection are—

(1) the Committee on Foreign Relations, the Committee on Armed Services, and the Select Committee on Intelligence of the Senate; and

(2) the Committee on Foreign Affairs, the Committee on Armed Services, and the Permanent Select Committee on Intelligence of the House of Representatives.

It is the sense of Congress that sanctions are a vital foreign policy and national security tool, and as such, it is critical that the Department of State and other agencies with responsibilities relating to sanctions across the executive branch—

(1) are fully staffed, including through the prompt confirmation by the Senate of a qualified head of the Office of Sanctions Coordination of the Department of State; and

(2) have the resources and infrastructure necessary for the successful development and implementation of sanctions.

The head of the Office of Sanctions Coordination shall take steps to modernize the sanctions infrastructure and increase resources dedicated to implementing sanctions, including by—

(1) ensuring the Department of State has necessary subscriptions and access to open-source databases for purposes of making determinations to support the designation of persons for the imposition of sanctions;

(2) equipping bureaus involved in drafting and reviewing evidentiary packages to support such designations with sufficient technical resources to do so, including an adequate number of workstations that can be used to review classified information; and

(3) increasing the number of personnel dedicated to making and reviewing such designations.

Not later than 180 days after the date of the enactment of this Act, the head of the Office of Sanctions Coordination shall submit to the Committee on Foreign Relations of the Senate and the Committee on Foreign Affairs of the House of Representatives a report describing steps the Department of State is taking to address challenges in the ability of the Department to support the designation of persons for the imposition of sanctions.

There is authorized to be appropriated to the Office of Sanctions Coordination for each of fiscal years 2026 and 2027 $15,000,000 to carry out this section.

There is authorized to be appropriated to the Office of Foreign Assets Control of the Department of the Treasury for each of fiscal years 2026 and 2027 $15,000,000 to carry out this section.

Section 1232 of the National Defense Authorization Act for Fiscal Year 2017 (Public Law 114–328; 130 Stat. 2488) is amended—

(1) by striking subsections (c) and (d); and

(2) by redesignating subsections (e) and (f) as subsections (c) and (d), respectively.

There is authorized to be appropriated, out of any money in the Treasury not otherwise appropriated, $200,000,000 to the Secretary of State for fiscal years 2026 and 2027 for the Countering Russian Influence Fund to provide additional support to Ukraine and allies of the United States in Central and Eastern Europe in the wake of aggression by the Russian Federation, including assistance combating Russian Federation information operations, sabotage activities, cyber threats, and security threats.

The amounts provided under paragraph (1) are designated as an emergency requirement pursuant to section 4(g) of the Statutory Pay-As-You-Go Act of 2010 (2 U.S.C. 933(g)).

This subsection is designated as an emergency requirement pursuant to subsections (a) and (b) of section 4001 of S. Con. Res. 14 (117th Congress), the concurrent resolution on the budget for fiscal year 2022.

Not later than 90 days after the date of the enactment of this Act, and every 180 days thereafter, the Secretary of State shall submit to the appropriate committees of Congress a report that contains a description of the activities carried out pursuant to this section.

The strategy required by paragraph (1) shall be submitted in unclassified form, but may include a classified annex if necessary.

In this section, the term appropriate committees of Congress means—

(1) the Committee on Foreign Relations and the Committee on Appropriations of the Senate; and

(2) the Committee on Foreign Affairs and the Committee on Appropriations of the House of Representatives.

Not later than 30 days after the date of the enactment of this Act, and every 30 days thereafter, the Secretary of State and the Secretary of Defense shall jointly submit to the appropriate committees of Congress a report that includes—

(1) the status of remaining amounts available for Ukraine under the Presidential drawdown authority provided in the Additional Ukraine Supplemental Appropriations Act, 2022 (Public Law 117–128; 136 Stat. 1211) and the Ukraine Security Supplemental Appropriations Act (Public Law 118–50; 138 Stat. 905);

(2) a description of all defense articles and services provided to Ukraine under Presidential drawdown authority, Foreign Military Financing, and the Ukraine Security Assistance Initiative under section 1250 of the National Defense Authorization Act for Fiscal Year 2016 (Public Law 114–92; 129 Stat. 1068); and

(3) a description of the readiness requirements, valuations, and replenishment calculations used to determine the availability of inventory to transfer to Ukraine.

In this section, the term appropriate committees of Congress means—

(1) the Committee on Foreign Relations, the Committee on Armed Services, and the Committee on Appropriations of the Senate; and

(2) the Committees on Foreign Affairs, the Committee on Armed Services, and the Committee on Appropriations of the House of Representatives.

For any letter of offer to sell or license to export defense articles or defense services to Ukraine that would require a numbered certification to Congress required by section 36 of the Arms Export Control Act (22 U.S.C. 2776), the President shall not offer such letter of offer or issue such license until 15 days have elapsed from the time such numbered certification is provided to Congress, notwithstanding the requirements of such section for 30 days, and any joint resolution of disapproval shall be eligible for a motion to discharge from the Committee on Foreign Relations of the Senate 5 days after introduction.