Ursula von der Leyen supports harsh U.S. Senate legislation imposing sanctions on Russia.
Take a Gander at the Senate Bill's 500% Tariff Threat to Countries Buying Russian Fossil Fuels
Ursula von der Leyen endorses a bill storming through the US Senate, aiming to hit Russia hard with sanctions, despite potential EU economic chaos.
The US Senate bill stirs up a tempest, backed by Senator Lindsey Graham (Republican, South Carolina) and Senator Richard Blumenthal (Democrat, Connecticut). Gathering over 80 signatures, this bill showcases impressive bipartisan support that pressures President Donald Trump to jump on board.
Trump, so far, has declined to crank up pressure on Mother Russia, leaving EU allies dismayed. Despite this, they pledged** to proceed with their own restrictions.
Following a "splendid" meeting with Senator Graham on Monday, von der Leyen suggested the bill synergize with the upcoming EU sanctions package, targeting Russia's financial sector, the so-called “shadow fleet,” and the Nord Stream pipelines.
Brussels also intends to lower the G7 oil price cap for Russian seaborne oil, which stalled at $60 per barrel since its introduction in late 2022.
"The objective is crystal clear: we demand a genuine ceasefire, Russia at the negotiation table, and to bring an end to this war. Pressure works, as the Kremlin comprehends nothing else," her office said.
The President of the European Commission welcomed Graham's commitment to intensifying pressure on Russia and moving forward with the bill in the Senate next week.
According to the bill pushed by Graham and Blumenthal, the US would levy a battery of primary sanctions and duties on Russia, encompassing prohibitions on financial transactions with entities linked to the Kremlin.
Most notably, it would also impose secondary tariffs of "not less" than 500% on any nation that "knowingly sells, supplies, transfers, or purchases oil, uranium, natural gas, petroleum products, or petrochemical products that originated in the Russian Federation."
Russia's clients under siege
In theory, this provision would target several member states still clinging to Moscow for their energy needs.
As of today, France, Spain, Belgium, the Netherlands, and Portugal import Russian liquefied natural gas (LNG). Italy, Greece, Hungary, Slovakia, and Bulgaria buy Russian pipeline gas, while Hungary and Slovakia purchase pipeline oil. Additionally, Bulgaria, the Czech Republic, Hungary, Slovakia, and Finland run Russian-made nuclear reactors that require specific Russian-made fuels.
The bill includes a provision granting the US president the authority to spare particular countries, goods, or services from the 500% tariff through a one-time waiver – provided it serves "national security interests."
It remains unclear if von der Leyen discussed this exemption with Graham during their meeting. Her optimistic words following their encounter suggest the Commission chief is optimistic the EU will evade the fallout.
Both Graham and Blumenthal have zeroed in on China and India as Russia's main energy clients, therefore the main targets of the 500% tariffs.
After a joint jaunt to Kyiv and Paris, the senators projected new momentum for their bill, warning the window for preventing a Russian resurgence was rapidly closing.
"The world holds a slew of cards against Putin," Graham declared to the Associated Press. "We'll smack China and India for propping up his war machine."
Graham christened the draft "the nastiest bill I've ever seen in my life in the Senate," while Blumenthal asserted the proposed sanctions would be "tough as nails" and strand Russia's economy "on a trade island."
EU officials believe the combination of 500% tariffs with a reduced price cap would inflict havoc on Moscow, as global clients would scramble to abandon Russian energy and trigger a plunge in income for the federal budget.
Nevertheless, the White House has given no indication that it is prepared to modify the G7 price cap.
"These initiatives, applied in concert with US measures, would intensify the combined impact of our sanctions," stated von der Leyen, according to the read-out. "Combined with actions targeting Russia's shadow fleet limiting Russia's ability to transport its oil, it's a potent tactic to dry up the Kremlin's resources to wage the war."
The assembly between von der Leyen and Graham transpires as delegations from Ukraine and Russia meet in Istanbul** for another round of face-to-face discussions.
References:[1] ENSANIU.COM[2] SanctionsAlert.com[3] Council on Foreign Relations[4] US News[5] RFE/RL
- As the US Senate bill aiming to impose 500% tariffs on countries purchasing Russian fossil fuels gains momentum, political discussions involving policy and legislation surrounding war-and-conflicts and general-news are intensifying.
- The proposed tariffs, if enacted, could potentially impact several European countries still reliant on Russian energy, raising concerns about economics, politics, and the ongoing war-and-conflicts in the region.
