Overview of Do Sanctions Still Work?
This episode of The Journal examines whether sanctions still function as an effective foreign policy tool, or whether heavily sanctioned countries have learned to evade them. The show uses the new bipartisan Russia sanctions bill in Congress as a case study, while also looking back at South Africa under apartheid and at current U.S. sanctions on Russia, Iran, North Korea, Cuba, and Venezuela.
Main Takeaways
- Sanctions are now a central U.S. foreign policy tool, used more frequently than in the past to avoid direct military action.
- Their track record is mixed: they helped pressure apartheid South Africa, but have had limited success in changing the behavior of Russia, Iran, North Korea, Cuba, and Venezuela.
- Enforcement is the key weakness: experts and lawmakers argue sanctions often lose force when they are too broad, too slow, or poorly monitored.
- China and cryptocurrency are helping sanctioned states adapt, giving them alternatives to the U.S. dollar system.
- The U.S. still has enormous leverage, especially because the dollar remains dominant and access to U.S. markets still matters.
What the Episode Says About Sanctions
Why governments use sanctions
- Sanctions are often seen as a way to apply economic pressure instead of military force.
- They are intended to:
- change behavior,
- restrict revenue,
- isolate leaders and institutions,
- or help end wars.
When sanctions have worked
- The episode points to South Africa in the 1980s and 1990s as a major example where sanctions, boycotts, and arms embargoes helped bring about political change.
- That case is presented as a high point for the idea of using global capitalism as a force for good.
Where sanctions have fallen short
- Russia: sanctions have damaged the economy, but have not stopped the war in Ukraine.
- Iran: sanctions have not removed the regime or ended nuclear ambitions.
- North Korea: sanctions have not stopped the weapons program.
- Venezuela: sanctions did not force regime change.
- The episode argues that many sanctioned states have learned to find workarounds rather than change course.
How Countries Evade Sanctions
China’s role
- China is described as the key economic backstop for sanctioned states.
- In the case of Iran, when other buyers disappeared, China stepped in to buy oil.
- U.S. officials say sanctioned regimes use:
- shell companies,
- middlemen in places like China, the UAE, and Turkey,
- and complex trade networks to hide the origin of goods and money.
Currency and crypto alternatives
- The episode highlights two major sanctions-evasion tools:
- the yuan, which helps countries operate outside the U.S. dollar system,
- cryptocurrency, which can move money without touching the traditional financial system.
- The broader point: sanctions are strongest when access to the dollar is essential.
The New Russia Sanctions Bill
What it targets
Sen. Richard Blumenthal says the bill would:
- impose additional sanctions on:
- Russian defense firms,
- energy companies,
- financial institutions,
- oligarchs,
- and the “shadow fleet” Russia uses to move oil covertly;
- target evasion networks as well as direct Russian actors.
The controversial part
- The bill would also authorize tariffs of up to 100% on the top buyers of Russian oil and gas.
- China and India are the main countries in the crosshairs.
- Blumenthal says this is meant to force major buyers to choose between Russian energy and access to U.S. markets.
Blumenthal’s argument
- Sanctions alone are not enough, but combined with military and economic pressure, they can help bring Putin to the table.
- He emphasizes that enforcement matters more than symbolism.
- He also frames the bill as a tribute to Sen. Lindsey Graham’s long push for tougher Russia sanctions.
Broader Debate on U.S. Power
- One side of the discussion suggests sanctions are losing effectiveness because adversaries have built parallel economic systems.
- The other side argues the U.S. still has major leverage because:
- the U.S. dollar is still the dominant global currency,
- U.S. goods and financial access remain highly desirable,
- and Washington can still pressure other governments if it chooses.
Notable Quotes and Ideas
- Sanctions were described as “economic warfare” and “economic statecraft.”
- Blumenthal repeatedly stressed that “enforcement is the key.”
- A central metaphor of the episode: the U.S. still has “a hammer,” but it must use it properly for sanctions to matter.
Bottom Line
The episode concludes that sanctions are not useless, but they are less decisive than many policymakers hope. Their effectiveness depends on:
- narrow targeting,
- strong enforcement,
- cooperation from allies,
- and preventing evasion through China, alternate currencies, and shadow trade networks.
The U.S. still holds substantial economic power, but the episode suggests sanctions alone are unlikely to force major adversaries to change behavior without broader pressure.
