04-14-2025

Continuation of the National Emergency With Respect to Specified Harmful Foreign Activities of the Government of the Russian Federation

NoticeView the Original .pdf
View the Original .pdf

The 1-Minute Brief

What: The President has extended for one year the national emergency concerning the threat posed by the Russian Federation. This continuation preserves the legal foundation for the comprehensive sanctions the U.S. has imposed on Russia in response to its harmful foreign activities, including election interference, cyberattacks, and the ongoing war against Ukraine.

Money: This executive action does not appropriate new funds. Its financial impact comes from the economic sanctions it enables, which have been designed to impose severe costs on the Russian economy, restrict its government revenue, and degrade its military-industrial base. As of early 2024, sanctions had helped deprive Russia of more than $500 billion it could have otherwise used for its war effort.

Your Impact: For the average American, the direct impact is minimal. However, the sanctions contribute to global economic shifts, particularly in energy and commodity markets. The primary impact is on U.S. companies and individuals involved in trade, investment, or financial transactions with designated Russian entities, who remain prohibited from these activities.

Status: The national emergency has been officially continued for 1 year beyond April 15, 2025, as announced in a notice on April 10, 2025, and published in the Federal Register.

What's Actually in the Notice

This document is a formal continuation of a national emergency, a procedural requirement under the National Emergencies Act. It is not a new law but an executive action that keeps existing sanctions authorities in effect. The President must renew such emergencies annually, or they automatically terminate.

Core Provisions:

  • The national emergency first declared in Executive Order 14024 on April 15, 2021, is continued for 1 year.
  • This continuation maintains the prohibitions and restrictions laid out in a series of executive orders issued since 2021. These measures include:
    • Blocking the property and interests in property of individuals and entities involved in Russia's harmful activities, including those in the technology, defense, and financial services sectors.
    • Prohibiting new investment in the Russian Federation by U.S. persons.
    • Banning the import of key Russian goods like oil, gas, coal, diamonds, and seafood into the U.S.
    • Prohibiting the export of certain services (like accounting and management consulting) and luxury goods to Russia.
    • Authorizing "secondary sanctions" on foreign financial institutions that facilitate significant transactions for sanctioned Russian entities, effectively cutting them off from the U.S. financial system.

Stated Purpose (from the President):

The notice states that the continuation is necessary because Russia's specified harmful foreign activities continue to pose an "unusual and extraordinary threat to the national security, foreign policy, and economy of the United States." These activities include:

  1. Efforts to undermine free and fair democratic elections in the U.S. and allied nations.
  2. Engaging in and facilitating malicious cyber-enabled activities.
  3. Using transnational corruption to influence foreign governments.
  4. Pursuing extraterritorial activities that target dissidents or journalists.
  5. Undermining security in regions important to U.S. national security.
  6. Violating principles of international law, including the territorial integrity of states.

Key Facts:

Affected Sectors: Finance, Energy, Technology, Defense and related materiel, Aerospace, Manufacturing, and Mining.
Timeline: The national emergency is extended through April 15, 2026.
Scope: The sanctions apply to the Government of the Russian Federation, entities and individuals determined to be involved in its harmful activities, and U.S. persons who are broadly prohibited from transacting with them.

The Backstory: How We Got Here

Timeline of Events:

Pre-Invasion Sanctions (2021):

  • April 15, 2021: President Biden signs Executive Order 14024, declaring a national emergency to counter specific Russian threats. This initial action was a response to findings that Russia interfered in the 2020 U.S. election and was behind the massive "SolarWinds" cyberespionage campaign. It gave the Treasury Department authority to sanction Russian entities in the technology and defense sectors and restricted U.S. financial institutions from participating in the primary market for Russian sovereign bonds.

Post-Invasion Escalation (2022-Present):

  • February-March 2022: Following Russia's full-scale invasion of Ukraine, the emergency powers were rapidly expanded.
    • E.O. 14066 prohibited U.S. imports of Russian oil, liquefied natural gas, and coal, and banned new U.S. investment in Russia's energy sector.
    • E.O. 14068 banned the import of Russian-origin fish, seafood, alcoholic beverages, and non-industrial diamonds, and prohibited the export of U.S. luxury goods to Russia.
  • April 2022: E.O. 14071 imposed a full ban on all new investment in the Russian Federation by U.S. persons, regardless of the economic sector, and prohibited the supply of certain professional services.
  • December 2023: E.O. 14114 significantly increased pressure by authorizing secondary sanctions. It gave the Treasury authority to penalize foreign financial institutions that facilitate transactions for companies supporting Russia’s military-industrial base, aiming to crack down on sanctions evasion through third countries.

Why Now? The Political Calculus:

  • Legal Requirement: The National Emergencies Act mandates that the President must actively renew a declared emergency each year, otherwise it lapses. This notice is the fulfillment of that legal requirement.
  • Sustained Pressure: The continuation signals the administration's assessment that the threats from Russia are persistent and that economic pressure remains a core component of U.S. strategy, particularly to limit Russia's ability to fund its war in Ukraine.
  • Sanctions Evasion: Russia has adapted to sanctions by rerouting trade through third countries. The latest expansions, like E.O. 14114, are designed to counter this evasion by targeting international enablers.

Your Real-World Impact

The Direct Answer: This action primarily affects businesses, financial institutions, and individuals with direct dealings in or with the Russian Federation; for most Americans, the effects are indirect.

What Could Change for You:

Potential Benefits:

  • National Security: The intended benefit is the disruption of foreign activities that threaten U.S. security, such as cyberattacks on critical infrastructure and interference in democratic processes.
  • Geopolitical Stability: By constraining the Russian war machine, the sanctions aim to support Ukraine and deter future aggression, contributing to greater international stability.

Possible Disruptions or Costs:

Short-term (1-2 years):

  • Compliance Costs: U.S. companies, especially in finance and technology, face ongoing costs to ensure they comply with the complex web of sanctions.
  • Market Volatility: While the initial shock has passed, continued sanctions and geopolitical tension can contribute to volatility in global energy and food prices.

Long-term:

  • Economic Realignment: The sanctions are accelerating a shift in global trade, as Russia deepens its economic ties with countries like China, India, and Turkey, potentially creating more distinct economic blocs.
  • Frozen Markets: U.S. businesses are effectively cut off from the Russian market for the foreseeable future, representing a loss of opportunity for those who had operated there.

Who's Most Affected:

Primary Groups: U.S. financial institutions, technology companies, and consulting firms. Sanctioned Russian officials, oligarchs, and companies within the defense, energy, and financial sectors.
Secondary Groups: Foreign banks and companies in countries like China, Turkey, and the UAE that face the risk of U.S. secondary sanctions for dealing with Russia. European allies whose economies are more deeply intertwined with Russia's.
Regional Impact: While a national policy, the most significant economic effects outside of Russia are felt in Europe, which has had to drastically reorient its energy supply away from Russian gas and oil.

Bottom Line: The continuation of this national emergency solidifies the economic wall between the U.S. and Russia, creating compliance burdens for some businesses while aiming to protect the nation from foreign threats.

Where the Parties Stand

Republican Position: "Peace Through Strength"

Core Stance: There is a divide within the party. Many support strong sanctions to project strength and deter Russian aggression, while others express skepticism about their effectiveness or raise concerns about the economic costs and potential for escalation.

Their Arguments:

  • ✓ Generally support targeting Russia's military and energy sectors to weaken its ability to wage war.
  • ⚠️ Some members express concern that broad, long-term sanctions could harm the U.S. economy, drive Russia closer to China, and question whether the current strategy is sufficient to change the Kremlin's behavior.
  • ✗ A segment of the party opposes the level of U.S. involvement and financial commitment to the conflict in Ukraine, which is intertwined with the sanctions policy.

Legislative Strategy: Often focused on oversight of the administration's implementation of sanctions and pushing for legislation to mandate specific, tougher sanctions, thereby reducing presidential discretion.

Democratic Position: "Holding Russia Accountable"

Core Stance: Broadly supportive of the President's use of executive authority to impose and maintain strong economic sanctions against Russia.

Their Arguments:

  • ✓ Overwhelmingly support using sanctions as a primary tool to punish Russia for its invasion of Ukraine and other malign activities.
  • ✓ See sanctions as a critical way to support Ukraine and defend the international rules-based order without direct military intervention.
  • ⚠️ Some on the progressive wing may raise concerns about the humanitarian impact of broad sanctions on ordinary Russian citizens.

Legislative Strategy: Generally aligned with the administration, focusing on providing the executive branch with the flexibility it needs to respond to the evolving threat, while introducing legislation to close loopholes and support allied coordination.

Constitutional Check

The Verdict: ✓ Constitutional

Basis of Authority:

The President's action is based on powers delegated by Congress through federal law and on inherent executive powers.

  • International Emergency Economic Powers Act (IEEPA): This 1977 law is the primary statutory basis. It grants the President the authority to regulate international commerce in response to an unusual and extraordinary threat to the U.S. that originates abroad, after declaring a national emergency.
  • National Emergencies Act (NEA): This 1976 law establishes the procedural framework for declaring, managing, and terminating national emergencies, including the one-year renewal requirement.
  • Article II of the Constitution: The President has broad constitutional authority over foreign policy and as Commander-in-Chief, which courts have interpreted as giving the executive primacy in this area.

[Relevant Portion of IEEPA, 50 U.S.C. § 1702(a)(1)]: "[T]he President may, under such regulations as he may prescribe, by means of instructions, licenses, or otherwise— (A) investigate, regulate, or prohibit— (i) any transactions in foreign exchange, (ii) transfers of credit or payments between, by, through, or to any banking institution... (B) investigate, block... regulate, direct and compel, nullify, void, prevent or prohibit, any acquisition, holding, withholding, use, transfer, withdrawal, transportation, importation or exportation of... any property in which any foreign country or a national thereof has any interest by any person... subject to the jurisdiction of the United States..."

Constitutional Implications:

Delegation of Powers: The IEEPA is a prime example of Congress delegating its constitutional power to regulate foreign commerce (Article I, Section 8) to the President to allow for swift action in a crisis.
Precedent: Presidents of both parties have used the IEEPA dozens of times since its enactment to impose economic sanctions on foreign governments, individuals, and organizations.
Federalism: Foreign policy and the regulation of international commerce are powers exclusive to the federal government, so these actions do not overstep into powers reserved for the states.

Potential Legal Challenges:

Legal challenges are unlikely to succeed in overturning the emergency itself. Courts have historically granted significant deference to the executive branch in matters of national security and foreign policy. Any challenges would likely come from U.S. or foreign individuals and companies designated for sanctions, arguing that their specific designation was improper or a violation of due process, rather than challenging the President's authority to maintain the emergency.

Your Action Options

TO SUPPORT THIS ACTION

5-Minute Actions:

  • Call Your Rep/Senators: Capitol Switchboard: (202) 224-3121. "I'm a constituent from [Your City/Town]. I am calling to express my support for the continuation of the national emergency and strong economic sanctions against Russia to hold it accountable for its actions."

30-Minute Deep Dive:

  • Write a Detailed Email: Contact the offices of members on the Senate Committee on Foreign Relations or the House Committee on Foreign Affairs to express your detailed support.
  • Join an Organization: Groups like the Atlantic Council, the Center for a New American Security (CNAS), and various Ukrainian-American advocacy organizations often support strong sanctions policies.

TO OPPOSE THIS ACTION

5-Minute Actions:

  • Call Your Rep/Senators: Capitol Switchboard: (202) 224-3121. "I'm a constituent from [Your City/Town]. I am calling to express my concern with the continuation of the national emergency regarding Russia and the current sanctions policy."

30-Minute Deep Dive:

  • Write a Letter to the Editor: Submit a letter to your local newspaper questioning the effectiveness of the sanctions, their economic impact on Americans, or the broad use of emergency powers.
  • Join an Organization: Some business associations express concerns about the impact of sanctions on trade. Think tanks like the Cato Institute or the Quincy Institute for Responsible Statecraft often publish analyses questioning the effectiveness and consequences of broad sanctions regimes.