Work in progress

${\color{purple}{\texttt{Sectoral vs. Firm-Level Sanctions in Trade Policy}}}$

This paper presents the Firm Sanctioned Data Base (FSDB), a novel dataset documenting firms sanctioned by the European Union from 2001 to 2025. The FSDB provides a detailed timeline of sanctions, including the dates of threat, date of sanction and lifting of sanctions when applicable. In addition, it tracks the addresses of targeted entities. Using this granular dataset, I revisit stylized facts from the literature and uncover three new facts: i) Assuming that a sanction program only impacts entities located in the program's named country leads to a misclassification of 30% of the sample; ii) Estimating the impacts of sanction programs separately overlooks up to 10% of entities situated in the same country but under different programs; iii) Relying on the date of sanction enforcement ignores firms’ anticipatory behavior, as they often react to sanction threats that can occur up to a year prior. I estimate the impact of firm-level sanctions on bilateral trade flows, offering new perspectives on the economic consequences of targeted sanctions.