Biden Announces New U.S. Sanctions Hitting Russian Banks, Technology Sector

U.S. President Joe Biden speaks about Russia's attack on Ukraine in Washington

U.S. President Joe Biden announced severe new sanctions against Russia on February 24 in response to its full-scale invasion of Ukraine.

The new U.S. sanctions will hit Russia's VTB Bank, cutting it from the U.S. financial system, Biden said, adding that other new sanctions will hit Russian oligarchs and its technology sector.

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"Putin is the aggressor. Putin chose this war,” Biden said, and he and Russia “will bear the consequences.”

Speaking at the White House, Biden said Putin rejected attempts by the West to engage in dialogue before launching his "premeditated attack," which he said violated international law.

"This is going to impose severe cost on the Russian economy, both immediately and over time," Biden said.

The sanctions are designed to have a long-term impact on Russia while minimizing the impact on the United States and its allies.

He said the steps will block the assets of four large Russian banks, cut off more than half of Russia's high-tech imports of U.S. semiconductors and other high-tech products, and sanction oligarchs.

The sanctions also will limit Russia's ability to do business in dollars, euros, pounds, and yen.

Biden held off imposing some of the most severe sanctions, including cutting Russia out of the SWIFT payment system, which allows for transfers from bank to bank around the globe. He also withheld any additional sanctions on Russian’s energy sector, but said Washington was prepared to do more.

SEE ALSO: The 'Nuclear Option': What Is SWIFT And What Happens If Russia Is Cut Off From It?

Biden noted that condemnation of Putin’s actions has come from all over the world and predicted that the Russian president will be left as a pariah on the international stage. He added that he has no plans to talk with Putin.

He also described the situation as a dangerous moment for all of Europe, but said that freedom would prevail.

Biden reiterated that U.S. forces “will not be engaged in a conflict with Russia in Ukraine" but vowed to defend "every inch" of NATO territory.

SEE ALSO: Britain Unveils Sanctions Package Banning Aeroflot, Imposing Asset Freezes On Banks, Oligarchs

He said he had authorized additional U.S. troops to deploy to Germany.

His announcement represented the second major tranche of sanctions against Russia since Putin earlier this week recognized two regions in eastern Ukraine as independent.

SEE ALSO: EU Leaders Agree On New Sanctions At Emergency Summit

The first round was announced on February 22 when Biden sanctioned two large Russian banks and Russian sovereign debt along with some members of the Russian elite and their family members.

A day later Washington imposed sanctions on the company in charge of building Russia's Nord Stream 2 gas pipeline.

With reporting by AP, Reuters, and AFP