Leading classification society Lloyd’s Register (LR) is withdrawing its business services from Russian entities in response to the latest round of UK sanctions legislation.
The London-headquartered company said it would no longer provide professional services to “Russian owned, controlled or managed assets or companies”.
The move comes after a review of its Russian business in the light of the country’s unprovoked invasion of the Ukraine — and the increasing sanctions legislation that prevents UK companies doing business with Russia.
LR said its decision was taken “based on the latest legislative requirements taking effect in the UK, the European Union and United States”.
TradeWinds reported previously that LR provides classification services to some of the ships owned and controlled by Russia’s leading shipping companies, Sovcomflot and Fesco.
Removal of classification services will immediately invalidate annual and special survey class certification of the Russian ships it certifies. It will also invalidate both protection and indemnity and hull and machinery insurance.
Restrict trade
The move would also put Russian ships in breach of international conventions, and flag state requirements, which will severely restrict their ability to trade around the world.
Russian shipping companies classed by LR are now likely to look to the Russian Register of Shipping (RRS) for classification services.
The RRS remains a member of the International Association of Classification Societies (IACS).
Focus will now move onto whether LR’s move is followed by DNV, Bureau Veritas, ABS and other leading classification societies that provide classification services in Russia.
