Sanctions 2025

NETHERLANDS Law and Practice Contributed by: Sebastiaan Bennink, Nicolas Burnichon, Siqi Zhao and Daniel Webb, Bennink Dunin-Wasowicz

• Broader application of sectoral sanctions, affecting the defence, semiconductor and aviation indus - tries, among other high-technology industries. • The Dutch government is modernising the sanc - tions regulatory framework and proposing a new International Sanctions Act. Key elements of the proposed Act include, amongst others, the intro - duction of an administrative sanctions enforcement system, an updated central reporting point, the ability to annotate public registers with informa - tion concerning relations with sanctioned persons, extended supervision of the legal professions and enhanced management of long-term frozen assets and economic resources. 1.3 Key Industries Many economic sectors are impacted by the broad scope of sanctions measures. In the Netherlands, the following industries are particularly affected: • the sensitive technology industry – specifically the semiconductor, quantum technology and AI tech - nology sectors; • the defence industry; • the shipbuilding industry; • the logistics and transport industry; • the financial sector; • the luxury goods industry; • the energy industry; • the metals and raw materials industry; and • companies engaged in activities involving dual-use and/or military items. 1.4 Overview 1.4.1 Types of Sanctions The Netherlands adopts sanctions that have been agreed to by the UN or the EU and does not operate an autonomous sanctions regime. The types of sanctions the Netherlands adopts include: • targeted sanctions – ie, sanctions targeting indi - viduals through asset freezes and travel bans; and • sectoral sanctions – ie, economic sanctions that, amongst other things, prohibit transactions within certain sectors in a sanctioned territory, prohibit

the import or export of certain goods, or prohibit transactions with specific listed entities in a sector. 1.4.2 Scope of Sanctions As the Netherlands implements EU sanctions, the general scope of EU sanctions is relevant. These sanctions typically apply: • within the territory of the EU, including its airspace; • on board any aircraft or vessel under the jurisdic - tion of an EU member state; • to any natural person, inside or outside the EU, who is a national of an EU member state; • to any legal person, entity or body, inside or out - side the EU, which is incorporated or constituted under the law of an EU member state; and • to any legal person, entity or body in respect of any business conducted wholly or partly within the EU. Although EU sanctions are not formally extraterritorial in nature, certain provisions do have extraterritorial effects. For example: • Article 8a of Regulation 833/2014 introduces a “best efforts” obligation, requiring EU operators to ensure that entities they own or control, even if located in third countries, do not engage in activi - ties that undermine EU restrictive measures; and • Article 12g of Regulation 833/2014 imposes an obligation to contractually prohibit the re-export of certain items to Russia. 1.4.3 Domestic and/or Supranational Measures The Dutch government generally does not impose sanctions unilaterally. Instead, it implements sanc - tions adopted by the United Nations or the EU, based on the view that sanctions are most effective when imposed collectively by a coalition of countries. Sanctions imposed in the Netherlands are comprised of over 40 different EU regimes, some implementing UN Security Council resolutions, but also a national terrorism list adopted in accordance with UN Security Council Resolution 1373 (2001), which can be consid - ered a unilateral sanctions list.

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