Hungary and Slovakia block adoption of the 18th EU sanctions package against Russia

Hungary and Slovakia have blocked the adoption of the 18th package of sanctions against Russia at a meeting of EU foreign ministers in Brussels, Hungarian Foreign and Trade Minister Péter Szijjártó said. The move comes at a time when the European Commission (EC) is pushing for a phasing out of Russian energy imports by 2028, which has sparked strong opposition from both countries.

"Today, together with Slovakia, we blocked the adoption of the 18th sanctions package. We did this because in this case EU countries, including Hungary and Slovakia, would be banned from buying Russian natural gas and cheap Russian oil," Szijjártó said at a meeting with Hungarian journalists broadcast by M1 television.

Szijjártó said the EC proposal is aimed at undermining Hungary's energy security because it would increase the country's dependence on other energy sources and increase household energy costs. "Now is not the time to impose further restrictions and bans in the energy sector, as a military conflict between the US, Israel and Iran could sharply increase global energy prices," stressed the Minister.

"The global energy market is unstable, and if anyone were to impose any kind of ban on the purchase of energy resources now, it would cause enormous damage," He added.

The European Union's sanctions against Russia have a long history dating back to 2014. Since then, the EU has adopted several sanctions packages, which have included economic measures, trade restrictions, travel bans for selected Russian officials and asset freezes. Following the escalation of the war in Ukraine in February 2022, sanctions have tightened considerably, targeting key sectors of the Russian economy such as energy, finance and technology.

The energy sector is a particularly sensitive area for the EU. Although many Member States, such as Germany and Poland, are working hard to reduce their dependence on Russian energy, countries such as Hungary and Slovakia remain heavily dependent on Russian gas and oil. These countries argue that a rapid exit from Russian resources would lead to economic problems and threaten their energy security. For example, Hungary imports over 80 % of its gas from Russia via the TurkStream pipeline, while Slovakia is a key transit hub for Russian gas to Europe.

Hungary's and Slovakia's position on sanctions against Russia has long been a subject of controversy within the EU. Hungary, under the leadership of Prime Minister Viktor Orbán, has repeatedly criticised the EU's sanctions policy, describing it as counterproductive and harmful to European economies. Orbán and Szijjártó argue that sanctions are more damaging to European countries than Russia, and advocate a pragmatic approach based on national interests. This position often causes tension with other Member States, which call for a united approach towards Russia.

Slovakia, although less vocal, shares similar concerns about the economic impact of sanctions. The Slovak government, led by Prime Minister Robert Fico, is stressing the need to protect its citizens from rising energy prices, especially in the context of the global energy crisis. However, this position is criticised by countries such as Poland and the Baltic States, which consider any dependence on Russian energy a strategic risk.

Another controversy is whether Hungary and Slovakia are using their veto to strengthen their own negotiating position in the EU. Some analysts suggest that by blocking sanctions, Hungary may be pressuring the EU to release frozen funds that have been suspended to Hungary over rule of law concerns. Similarly, Slovakia may seek exemptions from energy restrictions to secure access to cheaper Russian resources.

In his statement, Szijjártó pointed to the growing instability of the global energy market, especially in the context of tensions between the US, Israel and Iran. Iran is one of the world's main oil producers, and any conflict in the region could lead to significant fluctuations in energy prices.

Combined with existing sanctions against Russia, which have restricted oil and gas supplies to the global market, further restrictions could have devastating effects on European economies.

While the European Commission is pushing for a switch to renewable energy sources and alternative energy suppliers such as LNG from the US or Norway, these sources are often more expensive and their infrastructure is not fully developed. Hungary and Slovakia therefore argue that a rapid shift away from Russian energy is not realistic and would threaten their economic stability.

gnews.cz - GH