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Russia dropped from ship certification body as sanctions bite -Breaking

by Mike Robinson

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© Reuters. FILEPHOTO: A row of ships is seen close to the Russky Bridge that connects to Russky Island during a snowy day in the far-eastern Russian city Vladivostok on December 26, 2021. REUTERS/Tatiana Meel

LONDON (Reuters – Russia Maritime Register of Shipping has ceased membership to its top ship certification association. The sanctions imposed on Moscow by the United States after the invasion of Ukraine have a devastating impact on the nation’s shipping industry.

These classification societies offer services like checking that vessels are safe and sound. They also provide insurance coverage and allow entry to ports.

Recent announcements by Britain’s LR, and Denmark’s DNV have indicated that they are ending or winding down business ties to Russia.

International Association of Classification Societies, which previously had 12 members including LR, DNV, and formed the highest tier of ship certifications worldwide, announced late Friday that it would withdraw RS membership immediately, citing UK sanctions against Russia, where IACS is located.

It stated that it deeply regrets the decision.

RS did no immediate respond to a request by Monday for comment.

A spokesperson for IACS stated Monday that the effect of RS not being an IACS member will “depend on its different, private bilateral agreements with entities like shipowners or flag states”.

According to the spokesperson, IACS is a technical organization that “develops or agrees on minimum technical standards”.

The spokesperson stated that IACS would need to make certain changes in the compositions of different working groups.

IACS is not involved with the commercial or operational activities of its members. Every IACS member must decide whether they want to continue their bilateral relationship with RS.

RS announced in June 2013 that it formed a strategic partnership (SCF) with Sovcomflot, a leading Russian shipping company. This included cooperation on developing new marine fuels and the technical supervision of ice-class vessels operating in the Arctic.

SCF was one of the Russian entities that the U.S. Treasury prohibited from raising capital on U.S. market markets last month. This shipping source claims will make it difficult for SCF to transact in the Moscow-listed business.

However, it was unclear what effect the increasing restrictions might have on SCF’s fleet safety and sailability.

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