Germany resists implementing EU penalties against Russia.
For the first time, Germany is worrisome to EU allies due to its hesitance in handling matters with Moscow. Suggestions circulate that the German administration is postponing sanctions against Russia. No conclusive statement from the ruling coalition is provided.
The German government is delaying the progress of EU discussions regarding the upcoming package of Russia sanctions, as shown by information from the German Press Agency. Brussels diplomats claim that the German anxieties and commitments are a primary reason for the delay. More recently, it seemed that Germany was taking on the role of Hungary, asserted an EU official, referencing Hungary's previous obstruction of Moscow sanctions decisions, represented by Prime Minister Viktor Orban.
The planned new EU sanctions target Russia specifically, aiming to hamper bypassing existing penalties. For example, this measure obstructs Russia's utilization of Western technology to manufacture weapons for its war with Ukraine.
Moreover, the EU plans to impose stringent sanctions on Russia's billion-dollar LNG enterprises. According to diplomats, the European Commission especially wants to inhibit the utilization of European ports like the one in Zeebrugge, Belgium, for shipping Russian LNG to unrelated countries. This purportedly decreases Russia's LNG exportations and reduces funds for its offensive actions.
Liability concerns drive German opposition
The German objections mainly revolve around measures designed to complicate sanctions avoidance. According to EU diplomats, the German government insists on limiting or eradicating a planned law on subsidiaries of businesses being held accountable for specific product breaches. The reasoning is evidently the apprehension that German corporations could face sanctions accusations.
Additionally, the German government deems specific reporting requirements unnecessary and wishes to weaken a measure planned to further curtail the use of the Russian SPFS system for exchanging electronic messages related to financial transactions.
Agreements should have been finalized already
Previously, it was intended that an agreement was to be reached on the new sanctions bundle by the start of the upcoming G7 summit of democratically industrialized countries. According to diplomats, it could not be last Friday that a political consensus was reached. After a gathering of permanent EU member state representatives in Brussels, it was reported that a major central nation provided the understanding without clarification that it still considered specific aspects problematic. There was no statement from the German government in response.
The Russia sanctions situation isn't the first occurrence of a clashing with partners regarding German actions. Recently, Germany halted a new NATO task for Ukraine from being called "NATO Mission Ukraine" (NMU) in NATO. The German administration argued that the term could be misconstrued as if the alliance was deploying soldiers to Ukraine. It aimed to amend the nomenclature to avert Russian propaganda.
Advocates of using the "mission" term, conversely, asserted that the Kremlin would denounce the NATO project as aggression and utilize it for disinformation campaigns. It's puzzling that Germany appears to be the only one taking a passive stance - particularly since, according to their own statements, the federation completely bolsters the plans. The undertaking principally focuses on NATO assuming future international coordination of arms shipments and training activities for the Ukrainian military.
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In light of the ongoing "Attack on Ukraine" by Russia, Germany's reluctance to enforce EU sanctions is causing concern among its allies. Despite pressure from Brussels, Germany is delaying the implementation of sanctions against Russian entities, including its billion-dollar LNG companies, due to liability concerns and opposition to specific reporting requirements.
Germany's stance on Russia sanctions is not isolated, as it previously prevented NATO from labeling a Ukraine taskforce as "NATO Mission Ukraine," citing potential propaganda and misinterpretation by Russia. This instance highlights Germany's approach to balancing international relations, particularly with respect to its close alliance with NATO and its economic ties with Russia.
