Russian drivers have avoided being banned by motorsport's world governing body, meaning Haas driver Nikita Mazepin can compete for his Formula One team.
A range of measures was announced by the FIA on Tuesday, with teams representing Russia and close ally Belarus being suspended until further notice.
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The conflict since the Russian-led invasion of Ukraine was addressed at an extraordinary meeting of the World Motor Sport Council (WMSC).
Drivers from Russia and Belarus will be barred from racing as representatives of their countries, but they will be allowed to compete as neutrals, providing they do not step out of line.
Mazepin is the only Russian driver on the F1 grid, with the 22-year-old due to start his second season in Bahrain later this month.
FIA president Mohammed Ben Sulayem told the meeting the FIA was observing events in Ukraine "with sadness and shock", adding that he hoped for "a swift and peaceful resolution". He also spoke of concern for the FIA's Ukrainian members and their current "intolerable hardship".
"We condemn the Russian invasion of Ukraine and our thoughts are with all those suffering as a result of the events in Ukraine," he added.
FIA Statement - World Motor Sport Council decisions in relation to the situation in Ukraine pic.twitter.com/HwChHhkla6
— FIA (@fia) March 1, 2022
The FIA said none of its competitions should take place in Russia or Belarus until further notice, with flags or symbols of either country also banned for now, along with anthems and national colours.
Outlining its position on drivers, the FIA stated: "Russian/Belarusian drivers, individual competitors and officials to participate in international/zone competitions only in their neutral capacity and under the 'FIA flag', subject to specific commitment and adherence to the FIA's principles of peace and political neutrality, until further notice."
The Russian Grand Prix, which was due to take place in September, has already been cancelled by F1 chiefs, with the FIA describing that as a decision taken "for reason of force majeure".