US - Russian relations; how the embargo is affecting trade and the economy - Outline Example

The U.S government, for instance strongly condemned Russia’s annexation of Crimea2. The U.S imposed sanctions against 64 Russian individuals and organizations for destabilizing Ukraine. This paper will discuss how the recent US embargo on Russia is negatively affecting trade and the economy (in Russia), and how or if it may also affect a particular nation within the European Union. Congressional action in the U.S. has focused on providing help to the new Ukrainian government and also the sanctions against Russia for its annexation of Crimea.

President Obama warned Russia that it would face several costs for its ongoing actions in Ukraine3. For instance, the United States suspended most bilateral cooperation with Russia. It also announced that it would suspend several projects that were planned under the guidance of U.S.-Russia Bilateral Presidential Commission. The U.S government also put restrictions on defence-related support to Russia especially the exports4. The United States issued an Executive Order that imposed asset freezes and visa bans against the people that undermined the democratic processes laid down in Ukraine.

These people included 23 high-ranking Russian government officials and parliamentarians, 4 wealthy businesspersons in Putin’s inner circle. The government also placed sanctions on organizations that included bank, energy companies and other organizations that had a link to Putin’s inner circle. All these were done as part of an action to prevent further escalation of the crisis in Ukraine5. As stated earlier, several countries and regions including the U.S, EU and Japan placed sanctions on Russia following its actions in Ukraine.

Several countries including Albania, Canada, Moldovia, Australia, Switzerland and Montenegro followed suit6. However, the effects of the U.S sanctions on Russia are different to those of the other