RT.com
13 May 2022, 19:44 GMT+10
Hungary stalls bloc's crude oil embargo plan
A sixth round of Ukraine-related anti-Russia sanctions is unlikely to include an oil embargo, several media outlets reported citing sources within the EU government.
According to Bloomberg, EU countries are still striving to agree on the sanctions package in full, and some member states believe that the decision on Russian oil should be postponed.
Representatives of Hungary, insist that the embargo will have devastating consequences on their country's economy. Hungarian Prime Minister Viktor Orban recently urged that any option for an oil embargo should be discussed at a summit of EU leaders.
EU Foreign Policy Chief Josep Borrell on Friday announced that work on the oil ban has so far reached no results.
"The work on the oil embargo continues. On Monday, the foreign ministers will deal with this... I am sure we will have an agreement. I am sure that we must get rid of the oil dependence on Russia. Since there is no solution at the ambassadorial level, it will be discussed by the ministers," he said, as cited by Russia's TASS news agency.
EU sanctions require the unanimous support of all 27 nations, but ambassadors have been unable to reach an agreement on the sixth package of sanctions, which includes a draft of an oil embargo, for nine days now.
The European Commission proposed to ban the import of Russian crude oil starting six months after the entry into force of the sixth sanctions package, and on the import of Russian petroleum products starting from 2023. At the same time, the EC offered to allow Hungary and Slovakia, which are highly dependent on Russia, to purchase oil from Moscow until the end of 2024.
According to sources, however, the EC has already had to go back on a number of its proposals on the timing of the embargo, its specifications and possible exceptions.
Hungary strongly opposes banning Russian oil, with Prime Minister Orban slamming it as a "nuclear bomb" on Hungary's economy. Budapest has the support of other EU countries who believe that the damage from this measure will be catastrophic for the bloc.
According to Politico magazine, in order to persuade Budapest, the EC has drafted plans to offer financial compensation to Hungary if it signs up to the proposed embargo. Citing three EU officials, the publication reports that this money could be "channeled to Budapest as part of the bloc's new energy strategy, which is due to be set out next week, to end its reliance on Russian fossil fuels."
In addition to oil, the new sanctions package is reported to target three more Russian banks, which are to be disconnected from the SWIFT international payment system. EU foreign ministers are scheduled to discuss the package next on May 16.
For more stories on economy & finance visit RT's business section
(RT.com)
Get a daily dose of Houston Mirror news through our daily email, its complimentary and keeps you fully up to date with world and business news as well.
Publish news of your business, community or sports group, personnel appointments, major event and more by submitting a news release to Houston Mirror.
More InformationNEW YORK, New York - Global stock indices closed with divergent performances on Tuesday, as investors weighed corporate earnings, central...
TORONTO, Canada: Canadian Prime Minister Mark Carney announced late on June 29 that trade negotiations with the U.S. have recommenced...
Vancouver, Canada: A high-stakes legal showdown is brewing in the world of athleisure. Lululemon, the Canadian brand known for its...
LONDON, U.K.: British oil giant Shell has denied reports that it is in talks to acquire rival oil company BP. The Wall Street Journal...
NEW YORK, New York - U.S. stock markets closed firmly in positive territory to start the week Monday, with the S&P 500 and Dow Jones...
WASHINGTON, D.C.: On Friday, President Donald Trump announced that he was halting trade discussions with Canada due to its decision...
EVERGLADES, Florida: Over the weekend, a diverse coalition of environmental activists, Native American leaders, and residents gathered...
BEIJING, China: China's national soccer team may struggle to stir excitement, but its humanoid robots are drawing cheers — and not...
]LONDON, U.K.: A World Health Organization (WHO) expert group investigating the origins of the COVID-19 pandemic released its final...
DOVER, Delaware: California Governor Gavin Newsom has taken legal aim at Fox News, accusing the network of deliberately distorting...
FRANKFURT, Germany: Germany has become the latest country to challenge Chinese AI firm DeepSeek over its data practices, as pressure...
TORONTO, Canada: Harvard University and the University of Toronto have created a backup plan to ensure Harvard graduate students continue...