France's move to suspend delivery of a warship to Russia is very significant. Frankly it is a step that no-one thought France was going to make. This ship, the Vladivostok, is already built. It has got a Russian crew on board.
It was expected to sail from St Saint-Nazaire Azar in a matter of weeks. Suspending this contract for two ships could cost the French more than billion Euros, thousands of ship building jobs and its reputation as a reliable arms supplier.
For it to do this on the very day that President Putin was talking about a ceasefire is hugely significant. The Ukrainians say that was just an attempt to bamboozle the West to get sanctions delayed. But if so, it has not worked.
There will be more EU sanctions announced in the next few days. This is really significant, because it is going to cost the French so much, they will expect others to take a big hit too. These new sanctions may be pretty uncomfortable for German manufacturers and for the City of London.
Were the Russians -as Barack Obama claims - weighed down by sanctions, or where the Ukrainians looking to cut their losses?
The new president of the European Council could be "very important" for David Cameron.