Hiroshima summit: what the G7 discusses Eight dead after floods in Italy

The group of leading democratic industrialized countries wants to curb the billion-dollar export of rough diamonds from Russia. A corresponding statement should be decided at the G7 summit in Hiroshima, Japan, several diplomats from the German news agency said on Thursday. Russia’s war against Ukraine is one of the main themes of the three-day meeting, which begins Friday.

The G7 countries are also discussing how existing sanctions can be prevented from being circumvented. Chancellor Olaf Scholz (SPD) is confident that the G7 countries will find common ground.

According to the Japanese government, Ukrainian President Volodymyr Zelenskyy will attend the summit online, Kyodo news agency reported Thursday. Statements from Zelenskyj’s environment had previously raised the possibility that the president could personally travel to Japan.

In addition to Japan and Germany, the G7 also includes the US, Britain, France, Italy and Canada, as well as the European Union.

Russia is the world’s largest producer of rough diamonds

According to information from G7 circles, the new plans are about a coordinated reduction of Russia’s revenue from the sale of rough diamonds. The aim is to ensure that gemstones traded through countries such as India and the United Arab Emirates can still be identified as Russian diamonds after resale. In the EU, trade in Russian diamonds has already fallen by some 80 percent due to voluntary pledges, it said.

The diamond trade is an important source of income for Russia. In 2021, the last year in which the state diamond promoter Alrosa released its figures, the company generated 332 billion rubles (about 4 billion euros) in revenue. Russia is the world’s largest producer of rough diamonds.

However, so far the EU has not restricted trade. Until now, one of the reasons has been the resistance from Belgium. The Flemish port city of Antwerp has been considered the diamond center of the world since the 16th century.

The US, Canada and Britain had imposed sanctions on Alrosa. According to outgoing Alrosa CEO Sergei Ivanov, this has hardly harmed the group. Ivanov recently expressed optimism that new sanctions will not take effect.

Close loopholes in trade sanctions

The planned joint G7 statement aims to address the circumvention of existing trade restrictions imposed on Russia since the attack on Ukraine.

According to Chancellor Scholz, the aim is to further develop the sanctions regime in such a way that it can no longer be circumvented. “I assume we get along on all counts,” he said after arriving in Hiroshima on Thursday.

US President Joe Biden’s security adviser, Jake Sullivan, spoke about disabling diversion networks and closing loopholes. In connection with the planned G7 statement, he held out the prospect of a new US sanctions package.

Chinese companies, among others, are accused of supplying Russia with goods from the EU that could be used for warfare. The EU Commission has recently proposed to create the legal possibility to restrict selected exports of items that can be used for military purposes to certain third countries.

According to diplomats, however, the initiative is not universally welcomed by all EU member states. There is therefore a danger that Member States will not have the courage or will to include countries such as China on such a list because of possible retaliatory measures. For Germany, China has been the most important trading partner for the past seven years.

A total export ban to Russia is not expected

The proposal to ban exports to Russia in principle and to allow exceptions only for carefully selected products is currently not considered consensual. Sullivan said he does not expect such an export ban.

Until now, export bans on selected products have only been imposed in response to the Russian war of aggression. In the EU, these are, for example, aircraft, luxury goods and certain computer chips.

G7 also talks about China, climate and nuclear weapons

The global economy, climate protection and how to deal with China’s pursuit of power are also on the agenda of the summit. To strengthen cooperation with the Global South, host country Japan has invited partners such as India, Brazil and Indonesia.

Chancellor Scholz also expects a clear signal against the use of nuclear weapons. “The nuclear catastrophe that happened here reminds all of us that we must ensure that nuclear weapons are never used,” he said. Hiroshima was largely destroyed in 1945 by the first atomic bomb in history. (aeg/sda/dpa)