News / Europe

    EU's Russia Sanctions Seen as Limited for Now, Despite Tough Talk

    The logo of Russia's top crude producer Rosneft is seen on a price information board of a gasoline station in Moscow July 17, 2014.
    The logo of Russia's top crude producer Rosneft is seen on a price information board of a gasoline station in Moscow July 17, 2014.
    Reuters

    For all the tough talk, Europe is not likely to punish Russia over last week's downing of an airliner over Ukraine beyond speeding up the imposition of already agreed individual sanctions when the bloc's foreign ministers meet on Tuesday.

    The severity of future European Union sanctions could depend on the Netherlands, which suffered the greatest loss of life when the Malaysia Airlines flight was brought down.

    President Barack Obama has piled pressure on Europe for a more forceful response and the three leading EU powers - Britain, France and Germany - said they should be ready to ratchet up sanctions.

    Britain, in particular, said it was willing to suffer the economic consequences.

    But diplomats said Tuesday's meeting was not expected to go further than agreeing on companies and people to be hit with asset freezes under a more aggressive framework agreed last week. Previously, they had only said they would decide on the list by the end of July.

    Several diplomats said moving towards more sweeping economic sanctions could only be decided by heads of government. The attitude of the Netherlands, which lost 193 people in the incident, would be critical, diplomats said.

    The next scheduled summit of EU leaders is on August 30, although EU members could call for another emergency meeting.

    “The impulse must come from The Hague because they have the moral mandate to demand a resolute, firm reaction. Everything depends on that,” one EU diplomat said on condition of anonymity.

    “I think the events will serve to speed up sanctions, but as long as no new European council [of leaders] is called, ministers cannot go further even if they want to,” another EU diplomat said.

    Proof?

    A summit of EU leaders on July 16, the day before the airliner was shot down, agreed the EU would sanction Russian companies that help to destabilize Ukraine and block new loans to Russia.

    The wording was deliberately vague as the meeting agreed to target “entities, including from the Russian Federation, that are materially or financially supporting actions undermining or threatening Ukraine's sovereignty.”

    The United States and its allies have blamed pro-Russian rebels and Moscow itself over the downing of the plane. Russia has denied involvement.

    Speaking in parliament on Monday, Dutch Prime Minister Mark Rutte said the EU would impose further sanctions on Russia if it were proved that Russia was directly or indirectly responsible for bringing the plane down.

    His words cast doubt over whether the disaster would prove to be a turning point for international pressure to resolve the crisis in Ukraine, which has killed hundreds since pro-Western protests toppled the Moscow-backed president in Kyiv in February and Russia annexed the Crimea peninsula a month later.

    ‘Collective economic suicide’

    On Monday, EU diplomats made clear sectoral sanctions would still be extremely difficult for some of Europe's poorer nations. They are especially nervous about the energy sector, central to the Russian economy, but also to the European Union.

    EU nations rely on Russia for about 30 percent of their gas demand and have intertwined interests based on decades of energy reliance. According to U.N. data, excluding Russian gas exports - around $60 billion a year - the Netherlands was Russia's biggest export destination last year, mostly oil and metals.

    “Energy sanctions would most likely derail the fragile European recovery in general and could even lead to a complete economic collapse in certain member states,” one diplomat said. “I don't see how collective economic suicide serves us or the Ukrainians.”

    While some member states, such as Britain, do not rely on Russian gas, others are 100 percent dependent on Russia, having no other suppliers. In volume terms, Germany and Italy have the biggest exposure.

    Diplomats said that if energy had to be part of any sanctions regime, the European Union would have to agree ways to share the financial burden.

    Britain has said it too would suffer from any economic sanctions but it is willing to pay the price.

    “I would say... any sanctions will have an economic impact, and we are prepared to undertake further sanctions,” British Finance Minister George Osborne told BBC radio's Today program on Monday. “But think of the economic hit... of allowing international borders to be ignored, of allowing airlines to be shot down - that's a much greater economic hit for Britain and we're not prepared to allow that to happen.”

    London is a prime destination for Russian businesses and Russian oligarchs are major property owners in Britain.

    Energy major BP already faces the prospect of fallout following the U.S. decision to sanction Russia's largest oil firm Rosneft, of which BP owns a fifth.

    Another sensitive area is defense. France has said so far it is going ahead with a 1.2 billion euro ($1.6 billion) contract to supply Mistral helicopter carriers to Russia because canceling the deal would do more damage to Paris than to Moscow.

    On Monday, a French defense ministry official said any decision on whether to suspend the delivery of the first warship would only take place in October.

    You May Like

    Video Rubio Looks to Surge in New Hampshire

    Republican presidential candidate has moved into second place in several recent surveys and appears to be gaining ground on longtime frontrunner Donald Trump

    UN Calls for Global Ban on Female Genital Mutilation

    Recent UNICEF report finds at least 200 million girls and women alive today have undergone female genital mutilation in 30 countries

    UN Pilots New Peace Approach in CAR

    Approach launched in northern town of Kaga Bandoro, where former combatants of mainly Muslim Seleka armed group and Christian and animist anti-Balaka movement are being paid to do community work

    Featured Videos

    Your JavaScript is turned off or you have an old version of Adobe's Flash Player. Get the latest Flash player.
    German Artists to Memorialize Refugees With Life Jacket Exhibiti
    X
    Hamada Elsaram
    February 05, 2016 4:30 PM
    Sold in every kind of shop in some Turkish port towns, life jackets have become a symbol of the refugee crisis that brought a million people to Europe in 2015.  On the shores of Lesbos, Greece, German artists collect discarded life jackets as they prepare an art installation they plan to display in Germany.  For VOA, Hamada Elrasam has this report from Lesbos, Greece.
    Video

    Video German Artists to Memorialize Refugees With Life Jacket Exhibit

    Sold in every kind of shop in some Turkish port towns, life jackets have become a symbol of the refugee crisis that brought a million people to Europe in 2015.  On the shores of Lesbos, Greece, German artists collect discarded life jackets as they prepare an art installation they plan to display in Germany.  For VOA, Hamada Elrasam has this report from Lesbos, Greece.
    Video

    Video E-readers Help Ease Africa's Book Shortage

    Millions of people in Africa can't read, and there's a chronic shortage of books. A non-profit organization called Worldreader is trying to help change all that one e-reader at a time. VOA’s Deborah Block tells us about a girls' school in Nairobi, Kenya where Worldreader is making a difference.
    Video

    Video Genius Lets World Share Its Knowledge

    Inspired by crowdsourcing companies like Wikipedia, Genius allows anyone to edit anything on the web, using its web annotation tool
    Video

    Video Former Drug CEO Martin Shkreli Angers US Lawmakers

    A former U.S. pharmaceutical business executive has angered lawmakers by refusing to explain why he raised the price of a life-saving pill by 5,000 percent. Martin Shkreli was removed from a congressional hearing on Thursday after citing his Fifth Amendment right to stay silent. Zlatica Hoke has more.
    Video

    Video Super Bowl TV Commercials are Super Business for Advertisers

    The Super Bowl, the championship clash between the two top teams in American Football, is the most-watched sporting event of the year, and advertisers are lining up and paying big bucks to get their commercials on the air. In fact, the TV commercials during the Super Bowl have become one of the most anticipated and popular features of the event. VOA's Brian Allen has a sneak peek of what you can expect to see when the big game goes to commercial break, and the real entertainment begins.
    Video

    Video In Philippines, Mixed Feelings About Greater US Military Presence

    In the Philippines, some who will be directly affected by a recent Supreme Court decision clearing the way for more United States troop visits are having mixed reactions.  The increased rotations come at a time when the Philippines is trying to build up its military in the face of growing maritime assertiveness from China.  From Bahile, Palawan on the coast of the South China Sea, Simone Orendain has this story.
    Video

    Video Microcephaly's Connection to Zika: Guilty Until Proven Innocent

    The Zika virus rarely causes problems for the people who get it, but it seems to be having a devastating impact on babies whose mothers are infected with Zika. VOA's Carol Pearson has more.
    Video

    Video Solar Innovation Provides Cheap, Clean Energy to Kenya Residents

    In Kenya, a company called M-Kopa Solar is providing clean energy to more than 300,000 homes across East Africa by allowing customers to "pay-as-you-go" via their cell phones. As Lenny Ruvaga reports from Kangemi, customers pay a small deposit for a solar unit and then pay less than a dollar a day to get clean energy to light up their homes or businesses.
    Video

    Video Stunning Artworks Attract Record Crowds, Thanks to Social Media

    A new exhibit at the oldest art museum in America is shattering attendance records. Thousands of visitors are lining up to see nine giant works of art that have gotten a much-deserved shot of viral marketing. The 150-year-old Smithsonian American Art Museum has never had a response quite like this. VOA's Julie Taboh reports.
    Video

    Video Apprenticeships Put Americans on Path Back to Work

    Trying to get more people into the U.S. workforce, the Obama administration last year announced $175 million in grants towards apprenticeship programs. VOA White House correspondent Aru Pande went inside one training center outside of Washington that has gained national recognition for helping put people on the path to employment.
    Video

    Video New Material May Reduce Concussion Effects

    As the 2016 National Football League season reaches its summit at the Super Bowl this coming Sunday (2/7), scientists are trying to learn how to more effectively protect football players from dangerous and damaging concussions. Researchers at Cardiff and Cambridge Universities say their origami-based material may solve the problem. VOA’s George Putic reports.
    Video

    Video Saudi Arabian Women's Sports Chip Away at Stereotypes

    Saudi Arabian female athletes say that sports are on the front line of busting traditions that quash women’s voices, both locally and internationally. In their hometown of Jeddah, a group of basketball players say that by connecting sports to health issues, they are encouraging women and girls to get out of their homes and participate in public life. VOA’s Heather Murdock reports.
    Video

    Video A Year Later, Fortunes Mixed for Syrians Forging New Lives in Berlin

    In April of last year, VOA followed the progress of six young Syrian refugees -- four brothers and their two friends -- as they made their way from Libya to Italy by boat, and eventually to Germany. Reporter Henry Ridgwell caught up with the refugees again in Berlin, as they struggle to forge new lives amid the turmoil of Europe's refugee crisis.
    Video

    Video Zika Virus May be Hard to Stop

    With the Zika virus spreading rapidly, the World Health Organization Monday declared Zika a global health emergency. As Alberto Pimienta reports, for many governments and experts, the worst is yet to come.