The European Union has adopted its 20th package of sanctions against Russia, extending restrictions not only to Russian companies but also to organizations in third countries, including Uzbekistan, and for the first time activating a special anti-circumvention mechanism against Kyrgyzstan. The European Commission announced this on April 23, 2026.
EU sanctions two companies from Uzbekistan
Under the new package, the EU added several companies to the sanctions list that Brussels says directly or indirectly support Russia’s military-industrial complex. Among them are two companies from Uzbekistan — Fargona Kimyo Zavodi LLC and Raw Materials Cellulose LLC.
The Fergana Chemical Plant (Fargona Kimyo Zavodi LLC), located in Fergana, produces cotton pulp and, according to the EU document, supplies it to the Perm Powder Plant and the Kazan State-Owned Gunpowder Plant. The EU says these enterprises use the material to manufacture weapons for the Russian Armed Forces. The materials also state that the company is controlled by Rustam Muminov and “is supporting Russia’s military and industrial complex by being involved in the supply of military technology and equipment.”
Raw Materials Cellulose also sanctioned
Raw Materials Cellulose, based in the Jizzakh region, was also added to the sanctions list. According to the EU, the company produces cotton pulp and supplies it to Russian military-industrial enterprises, including the Tambov Gunpowder Plant, where the material is used to produce gunpowder. The document states that the company therefore “is supporting Russia’s military and industrial complex by being involved in supply of military technology and equipment.”
In total, the 20th EU package added 60 entities providing direct or indirect support to Russia’s defense sector or involved in sanctions circumvention. These include companies from China, the UAE, Türkiye, Thailand, Kazakhstan, Belarus and Uzbekistan.
EU activates sanctions mechanism against Kyrgyzstan
Separately, the EU for the first time activated its anti-circumvention tool against an entire country — Kyrgyzstan. Brussels cited the “systematic and persistent failure by the Kyrgyz Republic” to prevent the sale to Russia of certain machine tools and telecommunications equipment previously imported from the EU. According to the European Commission, such goods are used in Russia to produce drones and missiles.
The document stresses that these are high-risk dual-use items that allow Russia to “pursue its illegal military aggression against Ukraine and sustain its ability to wage war.” Activation of the anti-circumvention mechanism allows the EU to introduce additional export restrictions on certain goods to Kyrgyzstan if there is a risk of their re-export to Russia.
In addition, as part of financial measures, the EU banned transactions with several banks in third countries that Brussels says help circumvent sanctions or are connected to Russia’s financial messaging system. Four banks from Kyrgyzstan, Laos and Azerbaijan were included.
The 20th package also introduces restrictions in energy, trade, financial services and measures against Russia’s “shadow fleet.” In particular, the EU expanded the list of vessels transporting Russian oil, introduced new export bans worth more than €365 million and import restrictions on metals, chemicals and minerals worth over €530 million.
Sanctions previously imposed by the UK, EU and Ukraine
In December last year, the United Kingdom imposed sanctions on four Uzbek companies, including the Fergana Chemical Plant, Gelion Business Trade (Tashkent–Jizzakh), Chemistry International JV (Navoi) and Raw Materials Cellulose, as well as Rustam Muminov, who, according to UK authorities, holds citizenship of Uzbekistan, Israel and Russia.
Through Mercury Renaissance, which owns 100% of the Fergana chemical plant, Muminov previously had a direct connection to the enterprise. He earlier held a 60% stake in Mercury Renaissance; the share is now owned by Olga Yurevna Shagiyeva.
The European Union imposed sanctions on Muminov in October 2025.
Ukrainian President Volodymyr Zelenskyy enacted sanctions against Rustam Muminov and three companies from Uzbekistan — Mercury Renaissance, Raw Materials Cellulose and Fargona Kimyo Zavodi — in May last year.
Raw Materials Cellulose is currently equally owned by four individuals: Larisa Bikova, Babur Kabulniyazov, Azamjon Valikhonov and Mamurjon Alimov.
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