European countries request an assessment of a possible restriction on imports of Russian liquefied natural gas (LNG) as part of the next package of sanctions.
EU diplomats stated that countries, such as Belgium, Germany, and France, addressed the European Commission. They asked to assess whether a ban on LNG transshipment at European ports would hit the EU economy harder than Russia’s, according to Reuters.
There’s broad support but mainly questions. This package is just stitches – we’ve never done anything like this before.
Diplomats argue that they are seeking to iron out the 14th package before Hungary takes over the EU presidency in July. Earlier, Hungarian Prime Minister Viktor Orbán tried to block aid to Ukraine and restrictions on Moscow, they recalled.
That could thwart EU plans to impose sanctions, as their adoption requires unanimity. However, as the war drags on, the EU is running out of options to cut Russian revenues.
We were truly surprised at the resilience of the Russian economy but it has been hurt … Russia is turning into a kind of war economy.
Last month, the Russian government stated that it would seek ways to overcome what it considered to be illegal sanctions that the EU was imposing on LNG operations. Officials said any measures would have unpleasant consequences for European industry.
At the same time, European diplomats are debating whether EU companies should be held responsible for their distributors in third countries. The bloc is also discussing a separate package of measures to harmonise sanctions on Belarus imposed before the war in Ukraine with subsequent Russian sanctions and to close a major loophole that allowed many EU goods to enter Russia via Belarus.
However, the diplomats do not agree with the so-called “empty annex.” They argued that it would allow exporting Belarusian potash fertilisers through Europe in case of a sharp price increase.
The sources added that the annex could authorise temporary exports to a specific country. Belarus, Canada, and Russia are the world’s largest potash producers, diplomats remind.
