However, the FIA requested an additional hearing with Vettel at the headquarters in Paris, with FIA Deputy President for Sport Graham Stoker, FIA General Secretary for Sport Peter Bayer, FIA Formula One World Championship Race Director Charlie Whiting and FIA Formula One World Championship Deputy Race Director and FIA Safety Director Laurent Mekies all in attendance, as well as Vettel's Team Principal Maurizio Arrivabene.
Vettel issued a statement soon after the ruling from the FIA in which he gave his side of the story before admitting that he overreacted to Hamilton's move behind the safety vehicle.
Vettel admitted to responsibility for the incident and apologized, FIA added.
Vettel will not face further punishment for his unprecedented clash with Hamilton under the safety vehicle during a fraught Baku race after the FIA reviewed the incident again following widespread criticism his stop/go penalty didn't go far enough.
"Sportsmen must be cognisant of the impact their behaviour can have on those who look up to them".
Vettel's clashes with Hamilton in Baku occurred on lap 19 of last month's race as the field prepared to restart after a second period behind the Safety Car.
Vettel will however issue a formal public apology and take part in various FIA educational activities.
Vettel then pulled up to the left of Hamilton's Mercedes, gesticulating angrily at the Briton for the brake check.
Both during and after the race, Hamilton stated his belief that the punishment had not been severe enough and described Vettel's conduct as "dangerous", "disgusting" and "disgraceful".
The four-time world champion was also warned by the FIA that any recurrence of his behaviour will result in an immediate referral to the FIA's International Tribunal for further investigation.
Due to this incident, FIA president Jean Todt instructed that no road safety activities will be endorsed by Sebastien Vettel until the end of 2017.
"They are heroes and role models to millions of fans worldwide and must conduct themselves accordingly".
Vettel now holds a 14-point advantage over Hamilton in the World Championship standings.