Compatibility of Measures Restricting Trade in Natural Resources with WTO Law

The “sanctions tsunami” since the beginning of 2022 has resulted in the imposition of over 37,000 unilateral sanctions on various states to date. Trade in natural resources accounts for up to ¼ of total international trade. At the same time, Russia is the leader among the countries with the largest natural resources. This situation creates a high level of tension for the entire international trading system. The aim of the study is to identify the compatibility of unilateral extraterritorial sanctions restricting trade in natural resources with WTO law. The paper correlates the concepts of unilateral sanctions and other international legal coercive measures (countermeasures, UN Security Council sanctions, retortions and reprisals, trade restrictive measures). The grounds and peculiarities of trade in natural resources in the context of inter-sectoral interaction of international environmental law and international trade law are noted. The relevant case law has been analysed in terms of general exceptions within the WTO, as well as exceptions for national security reasons; the lawful standards for their introduction have been identified. Based on the conducted research the following conclusions are obtained. The concept of “unilateral sanctions” has no international legal basis and cannot be attributed to any other legitimate measure of coercion. In addition, the application of national acts that impose unilateral sanctions is extraterritorial, contrary to the principles of international law. At the same time, the unilateral restrictions imposed on trade in natural resources do not constitute exceptions for environmental protection purposes and do not meet the standards of the national security exception under the WTO law.