Ban on Russian-registered Ships

Summary#

The Regulations Amending the Special Economic Measures (Russia) Regulations (SOR/2022-47) add a ban on Russian-registered or Russian‑used ships docking in or passing through Canada. The rules took effect on March 6, 2022 and were published in the Canada Gazette on March 16, 2022.

What it does#

• Bans any ship that is registered in Russia, or used, leased or chartered (in whole or in part) by or for the benefit of Russia, a person in Russia, or a designated person from docking in Canada or passing through Canadian waters.
• Allows an exception only when docking or passing is necessary to safeguard human life or ensure navigational safety.
• Expands the existing rule against helping prohibited activities so that any person in Canada, or any Canadian outside Canada, is prohibited from knowingly doing anything that causes, facilitates or assists in activities already banned by the Special Economic Measures (Russia) Regulations (now including the new ship restriction).
• States the amendments apply according to their terms before publication and came into force on the day they were registered (March 6, 2022).

Who's affected#

• Owners and operators of ships that are registered in Russia or are used/leased/chartered on behalf of Russian entities.
• Canadian ports, terminal operators and harbour authorities that handle international vessels.
• Canadian businesses that expected shipments arriving on Russian-flagged or Russian-operated ships.
• Canadians and companies that might otherwise assist or arrange prohibited activities involving the listed ships (the rule covers actions by people in Canada and Canadians abroad).
• Enforcement agencies: Royal Canadian Mounted Police (RCMP) and Canada Border Services Agency (CBSA) will enforce the rules.

Why it matters#

• Practically, Russian-flagged or Russian-operated ships can no longer enter Canadian ports or transit internal Canadian waters, except in emergencies for life or safety. That can stop or delay deliveries arriving on those ships.
• The rule broadens who can be penalized by making it illegal to knowingly help or enable these banned activities from Canada or by Canadians overseas.
• Penalties for knowingly breaking the rules include fines of up to $25,000, or imprisonment for up to one year on summary conviction, or up to five years on indictment.
• The government says the direct impact on Canada should be limited because Russian-flagged or -owned ships account for under 1% of international marine traffic in Canadian waters.