Norwegian Ship Certifier DNV Winds Down Russia Business

Norway’s DNV, one of the world’s top ship certifiers, is winding down its Russia business and reviewing all existing contracts becoming the latest company to cut such services as pressure grows on Moscow after its invasion of Ukraine.

Classification societies provide services such as checking that ships are seaworthy and this certification cover is vital for securing insurance and entry into ports.

“We are deeply disturbed by the invasion of Ukraine, which is inflicting terrible harm to the citizens of Ukraine and threatening peace across the region,” Remi Eriksen, DNV group president and chief executive said in a statement on Friday.

“We are reviewing our existing business portfolio with Russian entities and are winding down all related business.”

On Thursday, Lloyd’s Register, another leading certifier, said it was stopping services to Russia after sanctions were imposed on Moscow.

DNV, which is also a leading risk management player in the energy space, is a provider of classification services to Russian shipping company Sovcomflot (SCF), shipping records showed.

SCF was among the Russian entities the U.S. Treasury restricted last month from raising capital in U.S. markets, which shipping sources say will complicate transactions for the Moscow-listed company.

The International Association of Classification Societies (IACS), whose 12 members, including LR and DNV, form the top tier of ship certifiers globally, said it was monitoring the various sanctions legislation.

“IACS will take immediate steps to abide by sanctions or other applicable laws that impact IACS activity,” it said in a separate statement.

(Reporting by Jonathan Saul, editing by Louise Heavens)