Shipbuilders are receiving a rush of offers on superyachts under construction amid sanctions on Russian elites

According to people in the industry, wealthy Russians who may not be able to take ownership of their superyachts due to sanctions are starting to receive offers from shipbuilders.

As well as imposing sanctions on Russia's banks, Western countries are targeting some powerful Russian individuals and businesses as a way of ramping up pressure on Putin to abandon the invasion of Ukraine. The sanctions prevent shipbuilders from accepting payments from anyone.

The export of luxury goods to Russia will be banned under new G7 and EU sanctions.

It means that unfinished superyachts that may have been destined for the Russian elite, but can't be sold to them, are being left with shipbuilders. It causes headaches for the builders because they have to take up valuable space in the shipyards while the projects are on hold.

Industry sources at the Dubai International Boat Show who were not named said that builders had been offered to take over the contracts. There is a limit on how many boats can be built at a time. Taking over contracts midway through construction could allow wealthy individuals to get a luxury yacht sooner.

According to a report by SuperYacht Times, Russians are the second-biggest group of owners of superyachts in the world. Sam Tucker, head of superyachts at maritime data company VesselsValue, said that many of the vessels currently under construction are likely to have been ordered by Russians.

In some cases, countries have seized assets belonging to wealthy Russians, including private jets and yachts. The US has banned its citizens from working on the $600 million Dilbar, and from paying docking fees in US dollars. The megayacht was seized by Italian authorities.

The staff of Dilbar had to be fired because their wages were not paid.

Roman Abramovich, a Russian billionaire, has moved two vessels worth more than $1 billion, after sanctions were announced.

Industry professionals largely avoided the term "the situation" and instead referred to it as "Russia's invasion of Ukraine cast a shadow upon the boat show in Dubai."

The chairman of BehneMar, a yacht broker and consultant, told the publication that everyone is talking about it.