Grodno Azot and the Khimvolokno Plant Lost Their Appeal in the EU Court Regarding Sanctions Imposed by the European Union

On July 3, 2025, the Court of Justice of the European Union issued a decision in the case of “Grodno Azot” (C-610/23), concerning the appeal by “Grodno Azot” and the Khimvolokno plant against the Council of the EU (T-117/22), related to EU sanctions imposed on OJSC “Grodno Azot” and its Khimvolokno plant.

Pavel Latushka commented on the decision as follows:

“Grodno Azot” is not just an industrial giant — it is, unfortunately, a financial lifeline for the repression against the Belarusian people. Revenue from its operations is also used to fund punitive structures and new prison cells for political prisoners.

Lukashenko likes to blackmail the West with so-called labor collectives — claiming that sanctions hurt ordinary workers. But let’s be honest: who really profits from these enterprises? The regime’s oligarchs and security elites. Meanwhile, people in Grodno or Novopolotsk work without decent wages, stripped of basic rights and prospects.

Today’s decision by the EU Court shows: there will be no support or legitimization of Lukashenko’s dictatorship. The economy of repression must remain under sanctions until all political prisoners in Belarus are freed, torture is ended, and the people gain the right to choose their government”.

It is worth recalling that since 2020, and even earlier, the EU has repeatedly imposed sanctions against the Lukashenko regime due to the suppression of democracy, rule of law, and human rights violations.

In accordance with the Council Implementing Decision (CFSP) 2021/2125 (implementing Decision 2012/642/CFSP) and the Council Implementing Regulation (EU) 2021/2124 (implementing Regulation (EU) No 765/2006), the EU froze funds and economic resources of individuals and entities responsible for repression or supporting the Lukashenko regime. Among them were the mentioned enterprises.

These companies had previously attempted to overturn the sanctions but failed. The Court found that they indeed provided financial support to the Lukashenko regime in the form of dividend payments.

In the new appellate proceedings, the Court rejected the plaintiffs' arguments that the sanctions were imposed merely due to the companies’ state ownership rather than for supporting the Lukashenko regime.

The Court also rightly noted that the main objective of the sanctions is to increase pressure on the Lukashenko regime to end the serious and ongoing violations of human rights, the suppression of democracy and rule of law, and the repression of civil society and democratic opposition in Belarus.

As a result, the EU Court dismissed the appeal by OJSC “Grodno Azot” and the Khimvolokno plant, upheld the sanctions against them, and ordered them to reimburse the costs incurred by the EU Council.

“This EU Court decision is not just a legal formality — it is a clear and unequivocal signal: financial support for repression will have consequences.

The rejection of Grodno Azot’s appeal once again underlines the EU’s determination to use economic levers to defend human rights and democracy in Belarus. This is not just the freezing of cooperation — it is the freezing of illusions of impunity, and a vivid confirmation that the international community continues to stand with the Belarusian people in their pursuit of freedom and justice.

The Lukashenko regime is driving itself into deeper financial isolation, and its actions in suppressing citizens’ rights are resulting in increasingly significant losses”, noted Pavel Latushka.

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