A sharp rift is being recorded among member-states of the European Union in negotiations over the 21st package of sanctions against Russia, with several governments demanding changes or exemptions to some of the proposed measures, according to a report by the Financial Times on Sunday, July 19, 2026, which cites five European diplomats involved in the talks.
Gradually, it seems that European states are realizing the damage caused by anti-Russian hysteria: It has cost a very severe energy crisis—which is expected to return multifold due to developments in Hormuz—in Germany, it has caused significant losses for its productive model, resulting in almost zero growth for nearly three years, while other countries also face inflationary pressures and a sharp increase in the cost of living.
Europe seems to have grown tired of this Brussels hysteria and of following measures that prove harmful and ineffective. As the imposition of new sanctions requires a unanimous decision by all 27 member-states, consultations continue without reaching an agreement. According to the same sources, the ambassadors of the member-states failed to reach a common position after four days of negotiations.
The package under discussion includes new measures targeting Russian exports, the financial system, and the enforcement mechanism for the price cap on Russian oil. One of the diplomats characterized the situation as a "severe crisis" for the European Union's sanctions policy, warning that "if everyone asks for exemptions and loopholes, then every new sanctions package will end up losing its effectiveness."
According to the same sources, the reluctance of certain member-states to support new sanctions is at unprecedented levels, as several governments estimate that the new measures could harm European businesses that still maintain economic ties with Russia. The Financial Times reports that Portugal and Germany are asking to exempt the ban on imports of Russian seafood from the package, citing the impact on domestic fish processing industries.
At the same time, according to the same report, France and Italy are seeking amendments to provisions concerning restrictions on issuing entry visas to Russian military personnel, while Austria is reinstating its request to unfreeze approximately €2 billion from frozen Russian assets, in order to compensate Raiffeisen Bank for losses linked to its operations in Russia.
Every country seeks to limit damage
According to one of the diplomats cited by the newspaper, negotiations are becoming increasingly difficult, as each country seeks to limit the impact of sanctions on sectors affecting its domestic economy. The report further notes that certain European governments appear more cautious regarding the adoption of new restrictive measures, particularly when these might affect companies or specific sectors of their economy.
European Commission President Ursula von der Leyen presented the proposal for the 21st sanctions package on June 9, which remains under negotiation among member-states. On July 16, reports also indicated that Greece expressed reservations regarding certain provisions related to Russian natural gas, arguing that Greek shipping interests could be affected, including the company Dynagas.
www.bankingnews.gr
Σχόλια αναγνωστών