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Germany Seeks U.S. Sanctions Exemption to Keep Schwedt Refinery Supplying Berlin

Talks with U.S. authorities aim to safeguard fuel supplies before temporary sanctions relief ends on April 29.

Overview

  • U.S. measures would effectively bar dealings with Rosneft and Lukoil affiliates, so Berlin is pressing for a continued carve‑out for the PCK refinery’s German Rosneft subsidiaries.
  • The economy ministry says it is preparing fallback options and warns that losing Rosneft Deutschland or PCK capacity could not be quickly replaced by product imports.
  • PCK management reports current business constraints and has asked the federal government for help, citing a treuhand mandate running only to March 10 and the sanctions waiver expiring April 29.
  • The Bundestag has amended the Foreign Trade and Payments Act to provide an alternative legal basis for trust administration and to implement EU exemptions shielding EU‑based subsidiaries.
  • The Schwedt plant supplies roughly 90% of Berlin and Brandenburg’s fuel and now operates on non‑Russian crude, with a federal‑state taskforce due to meet on February 17.