The Jewelers Vigilance Committee (JVC) distributed this member alert on June 29, 2022.
The US and Other G7 Nations Institute Ban on Imports of Russian Gold
On June 26, 2022, President Biden along with the other members of the G7 announced together that they would collectively ban the importation of Russian gold in their countries. The G7 includes the U.S., Canada, France, Germany, Italy, Japan, and the United Kingdom.
To implement this announcement, on Tuesday, June 28, the Treasury department announced in a “determination” that gold of Russian Federation origin is prohibited from importation to the United States, except to the extent provided by law, or unless licensed or otherwise authorized by the Office of Foreign Assets Control (OFAC). This determination specifically excludes gold of Russian origin that was already located outside of the Russian Federation before this determination.
OFAC has also issued an updated FAQ that notes Russian gold that is substantially transformed in another country is not subject to the importation ban. Note that OFAC also previously stated in FAQ 1029 that any gold-related transactions with the Russian Federation may be sanctionable or prohibited under other Executive Orders or sanctions.
Businesses regularly importing gold from countries not listed above should be sure to talk to their suppliers about this new restriction and ensure they are not unknowingly importing Russian gold into the United States. Businesses can also look to the LBMA “Good Delivery List” for a list of vetted bullion suppliers that adhere to the LBMA’s responsible sourcing program.
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