[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[S. 2904 Introduced in Senate (IS)]

<DOC>






119th CONGRESS
  1st Session
                                S. 2904

  To impose sanctions with respect to the shadow fleet of the Russian 
                  Federation, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

           September 18 (legislative day, September 16), 2025

 Mr. Risch (for himself, Mrs. Shaheen, Mr. Cotton, Mr. Whitehouse, Mr. 
    Ricketts, Mr. Blumenthal, Mr. Coons, Mr. Graham, and Mr. Kaine) 
introduced the following bill; which was read twice and referred to the 
                     Committee on Foreign Relations

_______________________________________________________________________

                                 A BILL


 
  To impose sanctions with respect to the shadow fleet of the Russian 
                  Federation, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) Short Title.--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''.
    (b) Table of Contents.--The table of contents for this Act is as 
follows:

Sec. 1. Short title; table of contents.
       TITLE I--SANCTIONS WITH RESPECT TO THE RUSSIAN FEDERATION

Sec. 101. Definitions.
       Subtitle A--Sanctions With Respect to Russian Shadow Fleet

                    PART I--Imposition of Sanctions

Sec. 111. Imposition of sanctions with respect to vessels suspected of 
                            participation in or support of the Russian 
                            shadow fleet.
Sec. 112. Imposition of sanctions with respect to foreign persons that 
                            support Russian illicit shipping with 
                            vessels subject to United States sanctions.
Sec. 113. Imposition of sanctions with respect to port terminals 
                            accepting oil from Russian shadow fleet 
                            vessels.
            PART II--Disclosures, Publications, and Reports

Sec. 121. Alignment of designation authorities with European Union and 
                            United Kingdom regarding Russian shadow 
                            fleet.
Sec. 122. Support of efforts of the Joint Expeditionary Force.
Sec. 123. Database of vessels involved in sabotage and other illicit 
                            activities.
Sec. 124. Report on specific licenses granted under Executive Order 
                            14024.
            PART III--Flag States Requirements and Strategy

Sec. 131. Minimum standards for operating as a flag state registry and 
                            assessment of efforts to prevent the 
                            circumvention of sanctions and other 
                            crimes.
Sec. 132. Strategy for countries that do not make sufficient efforts to 
                            comply with minimum standards for operating 
                            as a flag state.
PART IV--Denying Access to United States Markets for Russian-Origin Oil

Sec. 141. International efforts to enforce price cap on oil exports 
                            from the Russian Federation.
Sec. 142. Report on crude oil price cap.
                         PART V--Other Matters

Sec. 151. International efforts to identify vessels transporting 
                            Russian-origin oil.
  Subtitle B--Sanctions With Respect to Russian-Origin Energy Products

Sec. 161. Imposition of sanctions with respect to persons with certain 
                            interests in Russian energy projects.
Sec. 162. Modifications of Protecting Europe's Energy Security Act of 
                            2019.
Sec. 163. Report on exports of Russian-origin petroleum products.
Sec. 164. Strategy to counter role of the People's Republic of China in 
                            evasion of sanctions with respect to 
                            Russian-origin petroleum products.
 Subtitle C--Sanctions With Respect to Russian Defense Industrial Base

Sec. 171. Imposition of sanctions with respect to persons that sell, 
                            lease, or provides good or services 
                            relating to the defense industrial base of 
                            the Russian Federation.
                     Subtitle D--General Provisions

Sec. 181. Sanctions described.
Sec. 182. Exceptions; waivers.
Sec. 183. Implementation.
                        TITLE II--OTHER MATTERS

Sec. 201. Determination with respect to Russian military actions in 
                            support of Russian shadow fleet.
Sec. 202. Resources for sanctions implementation at the Department of 
                            State.
Sec. 203. Modification of limitation on military cooperation between 
                            the United States and the Russian 
                            Federation.
Sec. 204. Emergency appropriations for the Countering Russian Influence 
                            Fund.
Sec. 205. Report on presidential drawdown authority and Ukraine 
                            Security Assistance Initiative.
Sec. 206. Support for Ukraine arms sales.

       TITLE I--SANCTIONS WITH RESPECT TO THE RUSSIAN FEDERATION

SEC. 101. DEFINITIONS.

    In this title:
            (1) Adequate maritime insurance.--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.
            (2) Admitted; alien; lawfully admitted for permanent 
        residence.--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).
            (3) Appropriate congressional committees.--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.
            (4) Beneficial owner.--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.
            (5) Crude oil price cap.--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.
            (6) Foreign person.--The term ``foreign person'' means an 
        individual or entity that is not a United States person.
            (7) Foreign vessel.--The term ``foreign vessel'' means a 
        vessel that is not owned or operated by a United States person.
            (8) Knowingly.--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.
            (9) Petroleum product.--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.
            (10) Price cap coalition.--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''.
            (11) Russian-origin petroleum product.--The term ``Russian-
        origin petroleum product'' means a petroleum product extracted, 
        refined, processed, or otherwise produced in the Russian 
        Federation.
            (12) Russian person.--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.
            (13) Russian shadow fleet.--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.
            (14) Sabotage activities.--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.
            (15) United states person.--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.

       Subtitle A--Sanctions With Respect to Russian Shadow Fleet

                    PART I--IMPOSITION OF SANCTIONS

SEC. 111. IMPOSITION OF SANCTIONS WITH RESPECT TO VESSELS SUSPECTED OF 
              PARTICIPATION IN OR SUPPORT OF THE RUSSIAN SHADOW FLEET.

    (a) In General.--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.
    (b) Vessels Subject to Sanctions by the United Kingdom or the 
European Union.--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.
    (c) Indicators of Unsafe or Nonstandard Maritime Behavior.--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.
    (d) Report.--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.

SEC. 112. IMPOSITION OF SANCTIONS WITH RESPECT TO FOREIGN PERSONS THAT 
              SUPPORT RUSSIAN ILLICIT SHIPPING WITH VESSELS SUBJECT TO 
              UNITED STATES SANCTIONS.

    (a) In General.--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.
    (b) Transactions Described.--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.

SEC. 113. IMPOSITION OF SANCTIONS WITH RESPECT TO PORT TERMINALS 
              ACCEPTING OIL FROM RUSSIAN SHADOW FLEET VESSELS.

    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.

            PART II--DISCLOSURES, PUBLICATIONS, AND REPORTS

SEC. 121. ALIGNMENT OF DESIGNATION AUTHORITIES WITH EUROPEAN UNION AND 
              UNITED KINGDOM REGARDING RUSSIAN SHADOW FLEET.

    (a) Report.--
            (1) In general.--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.
            (2) Justification.--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.
    (b) Strategy.--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 C