EU considering full ban on Russian gas
Since the escalation of the Ukraine conflict in 2022, the EU has been pushing to sever energy imports from its one-time biggest supplier. Despite a significant drop in volumes, Russia remains a substantial source of gas for the bloc through a pipeline via Turkey and shipments of LNG.
According to people familiar with the matter, in June the EU plans to propose a ban on new Russian gas contracts and spot purchases – with the measures set to take effect by year's end.
The EC is also expected to adopt steps next month to phase out the remaining Russian pipeline gas and LNG tied to long-term contracts, though those would require a transition period until the end of 2027. The plans, due to be unveiled in Strasbourg on Tuesday, are still subject to change, the sources said.
A push to ban Russian LNG was previously floated during talks on the EU's 16th sanctions package, adopted in February 2025, but was abandoned following opposition from some member states.
France, Spain, and Belgium continue to import significant volumes of Russian LNG, accounting for 85% of Europe's LNG imports from the sanctioned country, according to the Institute for Energy Economics and Financial Analysis (IEEFA).
While pipeline flows from Russia have dropped sharply since 2022, EU imports of Russian LNG have soared. Russia supplied 17.5% of the bloc's LNG in 2024, second only to the US, which had a 45.3% share.
The proposed ban could create more room for US LNG exports, Bloomberg sources said. Washington has long urged the EU to reduce its reliance on Russian energy, once describing American LNG as 'molecules of freedom.'
However, a recent Reuters report said banning Russian LNG could weaken the EU's hand in trade talks with the US, where Brussels is seeking to use energy imports as leverage to lift tariffs on EU goods.
At the same time, some EU industry leaders have called for a return to cheaper Russian gas amid a worsening manufacturing crisis.
Russia has repeatedly said it remains a reliable energy supplier and has denounced Western sanctions and trade restrictions targeting its exports as illegal under international law. The country has also successfully shifted exports to 'friendly' markets.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Russia Today
14 hours ago
- Russia Today
German businesses fear military draft would drain labor
Struggling German businesses are voicing concern that the potential return of mandatory military conscription would place excessive strain on the labor force, the Financial Times reported on Friday, citing business leaders. The government of Chancellor Friedrich Merz has identified reinstating the draft as a possible remedy to the Bundeswehr's recruitment issues. Its push to ramp up defense production and boost the strength of the army reflects a broader EU militarization strategy that officials claim is a necessary response to the growing threat from Russia. Moscow has accused EU and Western leaders of fabricating the threat to justify the decline in living standards across Europe. While the business leaders interviewed by the outlet said they supported the drive to bolster national defense, they warned that doing so would further burden the civilian economy. 'Yes, we need more active soldiers. Yes, we need to expand the system of reservists. But only a strong economy can make that possible,' said Steffen Kampeter, director of the BDA, Germany's largest employers' association. Another representative from a business group, who requested anonymity, said: 'There are two conflicting goals – economic prosperity and defense.' Germany's economy has remained in recession for years, in part due to the West's efforts to exclude Russian energy and raw materials from EU markets in an attempt to punish Moscow for its role in the Ukraine conflict. Berlin is one of the biggest donors of weapons to Kiev. Cheap Russian pipeline gas had long been a cornerstone of German industry, dating back to the Cold War. Earlier this week, state broadcaster Deutsche Welle reported that such imports have dropped to their lowest levels since the 1970s – before the landmark 1980 agreement that linked Soviet gas supplies to Western European consumers. In the first half of 2025, Germany recorded the highest number of corporate bankruptcies in a decade, with some 11,900 businesses declaring insolvency, according to figures from the credit agency Creditreform. This week, Russian Foreign Minister Sergey Lavrov described as 'catastrophic' the planned increase in defense spending by NATO states, noting that it could 'lead to the organization's collapse.'
Russia Today
19 hours ago
- Russia Today
Ukraine trying to bypass US weapons freeze
Ukraine wants its EU backers to purchase American-made weapons on its behalf in order to offset the suspension of key US arms deliveries to Kiev, Politico reported on Wednesday. US media outlets reported earlier this week that supplies of Patriot missile interceptors – touted as important in repelling Russian strikes – as well as GMLRS rockets, Hellfire missiles, and thousands of 155mm artillery shells have been put on hold. NBC noted that some US cargo had already reached Europe but was being withheld from transfer to Ukrainian forces. US officials later confirmed the development, portraying it as part of the 'America first' policy and stating that the country must maintain its weapons stockpiles to ensure 'our own success on the battlefield.' The freeze 'blindsided top Ukrainian officials' and has prompted Kiev to ask Washington 'to let Europe purchase US weapons for Ukraine,' several Politico sources claimed. 'We don't have a choice,' an unnamed Ukrainian official added. Several European countries are reportedly reviewing potential purchases. However, the weapons transfers would still require US approval, one person told Politico, indicating that Ukraine's attempts to keep weapons flowing could become mired in additional negotiations. Part of the push involves overcoming export restrictions that Washington typically imposes on foreign use of its arms. Under the administration of former US President Joe Biden, even British deliveries of Storm Shadow missiles to Ukraine were initially delayed because the systems contained American components, Politico noted. A Ukrainian official told the outlet that similar hurdles could be addressed during the talks, although it remains unclear whether the US would sign off on deliveries. The administration of US President Donald Trump appears to be warming up to the idea of direct military sales to Kiev, according to the magazine. Politico in particular cited a recent meeting between Trump and Ukrainian leader Vladimir Zelensky on the sidelines of the NATO summit in the Netherlands, with one person briefed on the talks claiming that Trump seemed 'compassionate' and 'understanding,' although no specific commitments were detailed. The US weapons freeze has caused frustration in Kiev, with Ukrainian MP Mariana Bezuglaya proclaiming that the country 'is no longer our ally.' The Ukrainian Foreign Ministry also summoned US chargé d'affaires John Ginkel to underscore 'the critical importance' of deliveries and warn against any 'delay or procrastination.' Russia has consistently denounced Western arms deliveries to Ukraine, insisting they will only drag out the conflict without changing its eventual outcome.
Russia Today
a day ago
- Russia Today
Ukrainian membership of EU would destroy bloc's economy
Hungarian Prime Minister Viktor Orban has warned that Ukrainian membership of the EU would destroy both the bloc's and his country's economy. Ukraine was granted EU candidate status in 2022, but Orban has argued that allowing the country to join the bloc would draw all members into a direct conflict with Russia. The stance has increasingly put Kiev at odds with Budapest. 'Ukrainians are increasingly attacking Hungary because we stopped Ukraine's EU accession in Brussels,' Orban wrote in a Facebook post on Thursday. Hungary could not support Ukraine's bid for 'fundamental and strategic reasons,' he explained. 'We do not want war and we do not want the European [EU], including the Hungarian, economy to be destroyed,' he said. Last week, Orban said he vetoed an EU Foreign Affairs Council statement on Ukraine, effectively blocking Kiev's accession talks, arguing that the decision was backed by popular sentiment in Hungary. More than two million Hungarians, or an overwhelming 95% of voters in an unofficial Voks 2025 referendum, voiced opposition to Ukraine's EU bid. The vote has worsened already elevated tensions with Kiev, the Magyar Nemzet newspaper wrote on Wednesday. Hungarian-Ukrainian relations have been on the downturn in recent months, rocked by Kiev's decision to block the transit of Russian gas into Hungary, as well as a spy scandal. An EU and NATO member, Hungary has long opposed both bloc's policies on supplying Kiev with weapons, and called for a diplomatic solution to the hostilities. Ukrainian accession into NATO 'would mean war with Russia, and World War 3 the very next day,' Orban said last week. Moscow has strongly opposed Ukraine's ambition to join NATO, but had taken a more neutral stance on Ukraine's EU bid. However, recently Russia has pointed out that militarization efforts are turning the EU into more of a military than an economic bloc. According to Russian Foreign Minister Sergey Lavrov, the EU has undergone a 'radical transformation' and become an 'aggressive military-political bloc.' In its current state, the EU is effectively 'an appendage of NATO,' the top diplomat said last week.
