Key facts
- EU foreign ministers are debating a 21st package of sanctions against Russia, with a deadline of July 15.
- A key point of contention in the sanctions is a ban on Russian LNG transit through EU waters.
- Greece is pushing for an exemption for its maritime industry to service Russia's energy sector.
- EU ministers also discussed a potential import ban on goods from Israeli settlements.
- Several member states support framing settlement trade measures as a trade tool, not a foreign policy one.
- The EU pledged around €900 million for Gaza's recovery.
EU foreign ministers convened in Brussels to deliberate on a new package of sanctions against Russia, with a critical deadline approaching on July 15 that could see the price cap on Russian oil increase significantly if no agreement is reached.
The primary sticking point in the sanctions package is the proposed ban on the transit of Russian liquefied natural gas (LNG) through EU waters. Greece, in particular, is advocating for an exemption to protect its maritime industry's business with Russia's energy sector. This discussion occurs as the EU has recorded a record €6 billion expenditure on Russian LNG from the Yamal facility between January and June.
However, certain elements of the sanctions have been settled, with Patriarch Kirill, head of Russia's Orthodox Church, and billionaire Lukoil founder Vagit Alekperov being removed from the draft list due to insurmountable opposition from Bulgaria. Bulgaria's Foreign Minister, Velislava Petrova-Chamova, stated that removing Kirill's name was crucial to avoid creating anti-European sentiment in Orthodox countries and that the package, in its current form, is supportable.
Separately, EU foreign ministers also discussed a proposal to ban trade with goods manufactured in Israeli settlements. This measure garnered significant support, with a notable cohort of member states favoring its classification as a trade tool rather than a foreign policy measure, which would bypass the requirement for unanimous approval from all member states. Belgium, France, Ireland, Luxembourg, the Netherlands, Spain, and Sweden are among those pushing for this approach.
In parallel, the European Commission launched a 'Team Gaza Initiative,' pledging approximately €900 million for the recovery of the Gaza Strip. Jared Kushner, President Donald Trump's son-in-law, participated in the related conference via video link. The EU and UN estimate the cost of rebuilding Gaza over the next decade to exceed $71 billion.
Furthermore, Albania, Moldova, and Ukraine are set to advance in their EU accession processes. The UK has also joined the EU's €90 billion loan program for Ukraine, enabling Kyiv to procure weapons from British defense firms, though the UK will contribute to the annual interest payments.
In other news, nine European countries and Ukraine established an anti-ballistic missile coalition, and Hungary's parliament removed President Tamás Sulyok from office.