A cargo jet nearly collapsed relations between Canada and Russia

Invasion, sanctions, and plabseizures all played a role
Caught up in Canadian sanctions
Seizing Volga-Dnepr's An-124
An angry statement from Mo
“An act of cynical and shameless theft”
Taken hostage
It was always Canada’s plan says Russia
Serious repercussions
Retaliation will come
Another $500 million for Ukraine
Quick to confiscate
Seizing assets from the sanctioned
The first use of Canada’s new seizure law
Relations could get worse
Retaliation from Moscow
No big surprise
Canada remains unwavering
A large diaspora
A formal dispute from Volga-Dnepr Airlines
Open to negotiations
Invasion, sanctions, and plabseizures all played a role

Three days after Vladimir Putin ordered the full-scale invasion of Ukraine, a Russian-owned Antanov-124 cargo jet landed at Pearson International Airport on a mission to deliver Covid-19 supplies. However, this jet would not move again and crippled relations between the two countries.

Caught up in Canadian sanctions

The story isn't a difficult one to understand. Like most Western nations, Canada imposed a variety of sanctions on Russia following Moscow's invasion of Ukraine, and the An-124 owned by Volga-Dnepr Airlines got caught up in Ottawa's sanctions according to the Washington Post.

"Racking up a sky-high airport parking ticket"

"Visible from a highway, the aircraft — one of the world’s largest cargo planes, with a Russian flag painted on its tail fin and a blue stripe running the length of its 226-foot white body — has been a curiosity here, drawing attention for racking up a sky-high airport parking ticket," wrote reporter Amanda Coletta.

Seizing Volga-Dnepr's An-124

In June 2023, Canada's federal government ordered the seizure of the Anatonov, claiming it had the authority to do so after new legislation was passed that allowed Ottawa to seize frozen assets under sanction even if no crime had been committed.

An angry statement from Mo

This was a move that angered Russia, the Kremlin was quite clear that taking such action would do irreparable damage to Canada's relations with Moscow, which a statement from the country's Ministry of Defense noted were “already on the verge of being severe.”

“An act of cynical and shameless theft”

“We perceive this act as cynical and shameless theft,” the foreign ministry’s statement explained, which claimed Canada was acting on orders from the United States and was only encouraging Ukraine to wage war on Russia with its military assistance. 

Taken hostage

The An-124 sitting on Pearson International Airport's tarmac originally flew to the city on a humanitarian project according to the ministry, but wasn't allowed to leave the airport “and was essentially taken hostage."

It was always Canada’s plan says Russia

“It now turns out that Canadian authorities had a far-reaching aim in mind: to steal this unique aircraft and to hand it over to their clients in Kyiv,” the statement said, implying that the Government of Canada had planned to confiscate the Russian plane all along. 

Serious repercussions

The statement warned that if the Canadian government went through with its plans to confiscate the An-124 then it would suffer “the most serious repercussions” for relations between the states.

Retaliation will come

“Any attempts to cover up this illegal and shameful act by judicial procedures will not impart even a semblance of legitimacy to it,” the ministry’s statement added in a clear threat to Canada. “We reserve the right to retaliate in line with the reciprocity principle.”

Another $500 million for Ukraine

On June 10th, Canadian Prime Minister Justin Trudeau made a surprise visit to Ukraine where he not only announced $500 million more in military aid to the embattled country but also stated that Canada would be confiscating the Russian-owned An-124. 

Quick to confiscate

"We're going to do it as quickly as possible, but I can tell you the Ukrainians are very pleased that the path has started," Trudeau explained according to a report published by CTV News, which added the move was one of great importance for several reasons. 

Seizing assets from the sanctioned

Canada became the first G7 nation to enact laws that would allow the country’s government to confiscate assets from sanctioned individuals and divert the proceeds of those assets to the people being affected by the actions of the sanctioned. 

The first use of Canada’s new seizure law

CTV News noted in June that the law had never been used and CBC News reported: "If seized, [the An-124] would become the first physical asset confiscated under Canada's updated sanctions system." But some are said the move would garner some serious blowback. 

Relations could get worse

William Pellerin, a trade lawyer based in Ottawa, spoke to CTV News about the Canadian government’s plan to confiscate Volga-Dnepr’s plane and said that the plan could invite retaliation from Russian officials in Moscow. 

Retaliation from Moscow

"It's fair to say that this opens us up to reprisals,” Pellerin explained. “I think it's well known that the government of Russia has sanctioned a number of Canadians." 

No big surprise

"It's not surprising that Russia is taking this retaliatory stance," Pellerin added. "Canada's approach to seizure and forfeiture is the first of its kind globally. It is certainly the case that Russia would be deeply concerned if other countries followed Canada's approach."

Canada remains unwavering

On June 15th, the Russian Foreign Ministry summoned a Canadian diplomat in Moscow in order to protest the decision to confiscate the Russian An-124 and a spokesperson for Canada’s foreign ministry later said Ottawa’s support for Ukraine was “unwavering.” 

A large diaspora

"We have been explicitly clear. Those who have enabled, supported, and profited from Russia's war in Ukraine will be held accountable," the spokesperson said in an emailed statement according to Reuters, which noted Canada has a large Ukrainian diaspora. 

A formal dispute from Volga-Dnepr Airlines

The last update on the situation occurred in August 2023 when Volga-Dnepr Airlines served notice of its intent to file a formal dispute against Canada's government for its seizure of the company's AN-124 cargo plane according to CBC News.

Photo Credit: Wiki Commons By K.M. ABU BAKAR SIDDIQUE - Own work, CC BY-SA 4.0

Open to negotiations

"If the dispute is not resolved within six months of Canada's receipt of the notification, Volga-Dnepr Airlines will formally initiate arbitration proceedings," the company said in a media statement. "Volga-Dnepr remains open to negotiations with Canadian representatives to resolve the issue and return the aircraft.

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