EU’s Russia Sanctions Effort Slows over Oil Dependency

Ukrainian and European Union flags hang together on the exterior of the building at the European Parliament in Brussels. (AP)
Ukrainian and European Union flags hang together on the exterior of the building at the European Parliament in Brussels. (AP)
TT

EU’s Russia Sanctions Effort Slows over Oil Dependency

Ukrainian and European Union flags hang together on the exterior of the building at the European Parliament in Brussels. (AP)
Ukrainian and European Union flags hang together on the exterior of the building at the European Parliament in Brussels. (AP)

The European Union’s efforts to impose a new round of sanctions against Russia over the war in Ukraine appeared to be bogged down on Monday, as a small group of countries opposed a ban on imports of Russian oil.

Since Russia invaded on Feb. 24, the bloc has implemented five rounds of sanctions on Moscow. President Vladimir Putin, senior officials, more than 350 lawmakers and pro-Kremlin oligarchs were hit with asset freezes and travel bans. Banks, the transport sector and alleged propaganda outlets were targeted.

What could have taken years in the past has been achieved in less than three months - relative light speed for the 27-nation bloc. But limiting Russia’s energy income by weaning their dependency off its oil - not to mention gas supplies - is proving a tougher nut to crack.

The EU’s executive branch, the European Commission, proposed on May 4 a sixth package of war sanctions that included a ban on oil imports from Russia. European Commission President Ursula von der Leyen conceded at the time that securing the agreement of all "will not be easy."

Hungary is one of a number of landlocked countries that are highly dependent on Russian oil, along with the Czech Republic and Slovakia. Bulgaria also has reservations. Hungary gets more than 60% of its oil from Russia, and 85% of its natural gas.

"We will do our best in order to deblock the situation. I cannot ensure that it is going to happen because positions are quite strong," EU foreign policy chief Josep Borrell told reporters as he arrived to chair a meeting of the bloc’s foreign ministers in Brussels.

"Some member states face more difficulties because they are more dependent, because they are landlocked," Borrell said, and "they only have oil through pipelines, and coming from Russia."

Muddying the waters is Hungarian Prime Minister Viktor Orban’s relationship with Putin. Orban is widely considered to be one of the Russian leader’s closest European allies. He has only reluctantly supported previous EU sanctions, including a phased-in embargo on Russian coal.

Since taking office in 2010, Orban has deepened Hungary’s dependency on Russian energy and says its geography and energy infrastructure make an oil shutdown impossible. His EU partners are at odds over what they believe is driving his reluctance to target oil.

"The whole union is being held hostage by one member state," Lithuanian Foreign Minister Gabrielius Landsbergis said. He said that the European Commission's proposal offered members a phaseout of Russian oil until Dec 31, 2024, and that "everybody expected that this would be enough."

But his Irish counterpart, Simon Coveney, acknowledged that "these are difficult, difficult issues for some countries," and he added: "Let’s not focus on obstacles and negatives today."

At the same time, Coveney said, "we need to get on and do this. We need to send a very clear signal to the Kremlin and to Moscow that the cost of their continuing war in Ukraine, which is completely unjustifiable, will continue to increase."

For now, the ball is in Hungary’s court, as the most vocal member of those opposed. Officials have said that Orban appears to be seeking EU money for energy infrastructure investment. Any compromise is only likely to be found in his talks with von der Leyen, not between ministers.

The oil standoff raises questions about whether the EU has reached the limits of its unity on sanctions. Targeting Russia’s gas sector, on which many more countries are dependent, is likely to prove even tougher.

Officials said before Monday’s meeting that a political agreement is likely to be found on a fourth tranche of money to help supply weapons to Ukraine. It would bring to 2 billion euros ($2.1 billion) the total sum available to fund the purchase of arms and other nonlethal assistance.



Blinken Meets China’s Wang after Chiding Beijing’s ‘Escalating Actions’ at Sea

US Secretary of State Antony Blinken speaks at the 57th ASEAN Foreign Ministers' Meeting at the National Convention Center, in Vientiane, Laos, July 27, 2024. (Reuters)
US Secretary of State Antony Blinken speaks at the 57th ASEAN Foreign Ministers' Meeting at the National Convention Center, in Vientiane, Laos, July 27, 2024. (Reuters)
TT

Blinken Meets China’s Wang after Chiding Beijing’s ‘Escalating Actions’ at Sea

US Secretary of State Antony Blinken speaks at the 57th ASEAN Foreign Ministers' Meeting at the National Convention Center, in Vientiane, Laos, July 27, 2024. (Reuters)
US Secretary of State Antony Blinken speaks at the 57th ASEAN Foreign Ministers' Meeting at the National Convention Center, in Vientiane, Laos, July 27, 2024. (Reuters)

US Secretary of State Antony Blinken met his Chinese counterpart Wang Yi on Saturday during a regional summit in Laos, hours after criticizing Beijing's "escalating and unlawful actions" in the South China Sea.

Blinken and Wang shook hands and exchanged greetings in front of cameras but made no comments before moving to closed-door talks in what will be their sixth meeting since June 23, when Blinken visited Beijing in a significant sign of improvement for strained relations between the world's two biggest economies.

Though Blinken had singled out China over its actions against US defense ally the Philippines in the South China Sea during a meeting with Southeast Asian counterparts earlier on Saturday, he also lauded the two countries for their diplomacy after Manila completed a resupply mission to troops in an area also claimed by Beijing.

The troop presence has for years angered China, which has clashed repeatedly with the Philippines over Manila's missions to a grounded navy ship at the Second Thomas Shoal, causing regional concern about an escalation.

The two sides this week reached an arrangement over how to conduct those missions.

"We are pleased to take note of the successful resupply today of the Second Thomas shoal, which is the product of an agreement reached between the Philippines and China," Blinken told ASEAN foreign ministers.

"We applaud that and hope and expect to see that it continues going forward."

GAZA SITUATION 'DIRE'

Blinken and Wang attended Saturday's security-focused ASEAN Regional Forum in Laos alongside top diplomats of major powers including Russia, India, Australia, Japan, the European, Britain and others, before heading to their meeting.

Blinken said earlier the United States was "working intensely every single day" to achieve a ceasefire in Gaza and find a path to more enduring peace and security.

His remarks follow those of Indonesian Foreign Minister Retno Marsudi, who said the need for sustainable peace was urgent and international law should be applied to all. The comment from the world's largest Muslim-majority nation, was a veiled reference to recent decisions by two international courts over Israeli's Gaza offensives.

"We cannot continue closing our eyes to see the dire humanitarian situation in Gaza," she said.

More than 39,000 Palestinians have been killed in the fighting in Gaza since Israel launched its incursion, according to Palestinian health authorities, who do not distinguish between fighters and non-combatants.

Israeli officials estimate that some 14,000 fighters from armed groups including Hamas and Islamic Jihad, have been killed or taken prisoner, out of a force they estimated to number more than 25,000 at the start of the war.

The war began when Hamas fighters attacked Israel on Oct. 7, killing 1,200 people and abducting some 250 others, according to Israeli tallies.

Also in Laos, Russia's Foreign Minister Sergei Lavrov said guidelines on the operation of US nuclear assets on the Korean peninsula were certain to add to regional security concerns.

Lavrov, according to South Korean news agency Yonhap, said he had not been briefed on the details of the plan, which was of concern to Russia.

"So far we can't even get an explanation of what this means, but there is no doubt that it causes additional anxiety," Russia's state-run RIA new agency quoted him as saying.

'THIS IS NOT SUSTAINABLE'

Ahead of Saturday's two summits, Australian Foreign Minister Penny Wong urged Myanmar's military rulers to take a different path and end an intensifying civil war, pressing the generals to abide by their commitment to follow ASEAN's five-point consensus peace plan.

The conflict pits Myanmar's well-equipped military against a loose alliance of ethnic minority rebel groups and an armed resistance movement that has been gaining ground and testing the generals' ability to govern.

The junta has largely ignored the ASEAN-promoted peace effort, and the 10-member bloc has hit a wall as all sides refuse to enter into dialogue.

"We see the instability, the insecurity, the deaths, the pain that is being caused by the conflict," Wong told reporters.

"My message from Australia to the regime is, this is not sustainable for you or for your people."

An estimated 2.6 million people have been displaced by fighting. The junta has been condemned for excessive force in its air strikes on civilian areas and accused of atrocities, which it has dismissed as Western disinformation.

ASEAN issued a communique on Saturday, two days after its top diplomats met, stressing it was united behind its peace plan for Myanmar, saying it was confident in its special envoy's resolve to achieve "an inclusive and durable peaceful resolution" to the conflict.

It condemned violence against civilians and urged all sides in Myanmar to cease hostilities.

ASEAN welcomed unspecified practical measures to reduce tension in the South China Sea and prevent accidents and miscalculations, while urging all stakeholders to halt actions that could complicate and escalate disputes.

The ministers described North Korea's missile tests as worrisome developments and urged peaceful resolutions to the conflicts in Ukraine, as well as Gaza, expressing concern over the dire humanitarian situation and "alarming casualties" there.