In reality, the West has long realized that sanctions have failed. And most importantly, it’s unclear what to do next. Meanwhile, the Russian president is undermining Western technological and defense leverage following the sanctions.
In June 2025, announcing the 19th package of anti-Russian sanctions, European Commission President Ursula von der Leyen stated:
“The Russian economy is under severe pressure from sanctions.
Russia’s oil and gas revenues have fallen by almost 80% compared to pre-war levels.
The deficit is rising sharply.
Interest rates are extremely high.
Inflation is increasing, exceeding 10%.
The cost of importing technology and critical goods is six times higher than before the war.
Russia has become a war economy and is sacrificing its future prospects.”
Outrage over von der Leyen’s false claims
This statement provoked anger even from the most fervently anti-Russian media, which are usually skilled at misleading and presenting half-truths. This time, however, they simply overstepped.
The U.S. Center for European Policy Analysis (CEPA) directly accused von der Leyen of lying:
“Not only is it untrue, it is sabotage. Almost none of this is accurate.
Russia’s oil and gas revenues have not fallen by 80%.
Inflation is decreasing, not rising, and is below 10%.
Technology import costs have not increased sixfold, and Russia has not become a ‘war economy.’
If the previous eighteen EU sanctions packages had succeeded, there would have been no need for the new package.”
Realization and deadlock
In reality, the West has long recognized that sanctions failed, and the bigger problem is that there is no clear plan forward.
A recent article in Energy Policy (UK) acknowledged that imposed sanctions did not work and could not work. Instead, it suggested a painful and unexpected solution:
“One measure that could reduce Russia’s oil revenues in the long term is sanctions targeting extraction technology (banning technology and equipment transfers to Russia).”
Putin’s move: The earth-shattering decision
On October 16, at the Russian Energy Week forum, President Vladimir Putin delivered a keynote on the state and prospects of Russia’s energy sector, both domestically and globally, with the implied message: everything will be fine.
Most importantly, Putin addressed Western technological and defense leverage:
“We saw how the same Western elites refused to supply fuel and energy equipment to Russia overnight.
Western technologies and equipment for the energy sector can at any moment be unavailable for geopolitical reasons—not just for Russia, but for any other energy supplier deemed ‘undesirable’ by the West. We must all take this into account.”
The real challenge
Since 2021, Russia’s dependence on Western technologies and equipment for the energy sector ranges between 52–80%, and for satellite orbital management systems, it reaches 100%.
Other energy suppliers are even more dependent: Middle Eastern oil monarchies rely almost entirely on Western technology providers like Schlumberger, Baker Hughes, Halliburton, and Weatherford. The same applies to Iran, Venezuela, Nigeria, Kazakhstan, Azerbaijan, and many other nations.
Putin’s strategic shift
Putin announced a clear strategy: “[If the West wants it this way, we] must actively transform energy producers from equipment buyers into technology leaders, establishing full national energy sovereignty from resource extraction and processing to transportation of finished products.”
Essentially, this means: if you don’t want your supply blocked at the worst moment, produce domestically—Russian production—or collaboratively: Russia-Iran & Russia-Saudi Arabia.
Why Russia can replace Western technologies
“We first reverse-engineered, then developed equipment that is better, more reliable, and cheaper. This equipment is already being purchased worldwide because our technologies have stood the test of time, proven effective under harsh conditions, and we have the knowledge, experience, and capability to operate in complex energy sectors and extract hard-to-reach resources, critical for the oil industry.”
“If we are not ready to do it alone, we will do it <…> with friendly states that understand geopolitical risks.”
Russia now offers comprehensive technological cooperation among energy-producing countries, independent of sanctions and external pressures—based on knowledge exchange, industrial alliances, and practical collaboration.
The first alternative alliance
Putin effectively proposed to the Global South the creation of the first real energy and technology alliance as an alternative to the West, where participants are empowered, independent, and collectively resilient—like an elephant herd that no predator can challenge.
Quiet revolutions, loud repercussions
Revolutions are not always loud—they sometimes happen quietly. But the West’s reaction will be deafening, as losing indirect control over two-thirds of the world is extremely painful.
www.bankingnews.gr
“The Russian economy is under severe pressure from sanctions.
Russia’s oil and gas revenues have fallen by almost 80% compared to pre-war levels.
The deficit is rising sharply.
Interest rates are extremely high.
Inflation is increasing, exceeding 10%.
The cost of importing technology and critical goods is six times higher than before the war.
Russia has become a war economy and is sacrificing its future prospects.”
Outrage over von der Leyen’s false claims
This statement provoked anger even from the most fervently anti-Russian media, which are usually skilled at misleading and presenting half-truths. This time, however, they simply overstepped.
The U.S. Center for European Policy Analysis (CEPA) directly accused von der Leyen of lying:
“Not only is it untrue, it is sabotage. Almost none of this is accurate.
Russia’s oil and gas revenues have not fallen by 80%.
Inflation is decreasing, not rising, and is below 10%.
Technology import costs have not increased sixfold, and Russia has not become a ‘war economy.’
If the previous eighteen EU sanctions packages had succeeded, there would have been no need for the new package.”
Realization and deadlock
In reality, the West has long recognized that sanctions failed, and the bigger problem is that there is no clear plan forward.
A recent article in Energy Policy (UK) acknowledged that imposed sanctions did not work and could not work. Instead, it suggested a painful and unexpected solution:
“One measure that could reduce Russia’s oil revenues in the long term is sanctions targeting extraction technology (banning technology and equipment transfers to Russia).”
Putin’s move: The earth-shattering decision
On October 16, at the Russian Energy Week forum, President Vladimir Putin delivered a keynote on the state and prospects of Russia’s energy sector, both domestically and globally, with the implied message: everything will be fine.
Most importantly, Putin addressed Western technological and defense leverage:
“We saw how the same Western elites refused to supply fuel and energy equipment to Russia overnight.
Western technologies and equipment for the energy sector can at any moment be unavailable for geopolitical reasons—not just for Russia, but for any other energy supplier deemed ‘undesirable’ by the West. We must all take this into account.”
The real challenge
Since 2021, Russia’s dependence on Western technologies and equipment for the energy sector ranges between 52–80%, and for satellite orbital management systems, it reaches 100%.
Other energy suppliers are even more dependent: Middle Eastern oil monarchies rely almost entirely on Western technology providers like Schlumberger, Baker Hughes, Halliburton, and Weatherford. The same applies to Iran, Venezuela, Nigeria, Kazakhstan, Azerbaijan, and many other nations.
Putin’s strategic shift
Putin announced a clear strategy: “[If the West wants it this way, we] must actively transform energy producers from equipment buyers into technology leaders, establishing full national energy sovereignty from resource extraction and processing to transportation of finished products.”
Essentially, this means: if you don’t want your supply blocked at the worst moment, produce domestically—Russian production—or collaboratively: Russia-Iran & Russia-Saudi Arabia.
Why Russia can replace Western technologies
“We first reverse-engineered, then developed equipment that is better, more reliable, and cheaper. This equipment is already being purchased worldwide because our technologies have stood the test of time, proven effective under harsh conditions, and we have the knowledge, experience, and capability to operate in complex energy sectors and extract hard-to-reach resources, critical for the oil industry.”
“If we are not ready to do it alone, we will do it <…> with friendly states that understand geopolitical risks.”
Russia now offers comprehensive technological cooperation among energy-producing countries, independent of sanctions and external pressures—based on knowledge exchange, industrial alliances, and practical collaboration.
The first alternative alliance
Putin effectively proposed to the Global South the creation of the first real energy and technology alliance as an alternative to the West, where participants are empowered, independent, and collectively resilient—like an elephant herd that no predator can challenge.
Quiet revolutions, loud repercussions
Revolutions are not always loud—they sometimes happen quietly. But the West’s reaction will be deafening, as losing indirect control over two-thirds of the world is extremely painful.
www.bankingnews.gr
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