Hungary Stands Firm on EU Embargo Against Russian Oil, Reports Reuters

By Gabriela Baczynska

BRUSSELS – The European Union’s executive branch is looking to assist Hungary in enhancing the country’s oil pipelines, storage, and refining capabilities, as Budapest remains firm in its stance against a Russian oil embargo.

Most other EU nations support a ban on Russian oil as part of a sixth package of sanctions aimed at punishing Russia for its ongoing conflict in Ukraine. However, a unanimous agreement is required for such a decision, with Hungary being the most prominent opponent.

During a dinner meeting in Budapest, Hungarian Prime Minister Viktor Orban and European Commission President Ursula von der Leyen discussed potential investments to upgrade Hungary’s oil infrastructure.

“It’s crucial that we maintain unity within the European Union regarding sanctions against Russia; this is a collective effort,” stated spokesperson Eric Mamer at a news conference. He expressed hope that the EU could adopt the sanctions as soon as feasible.

Von der Leyen indicated that further discussions were necessary to reach an agreement and stated her intention to facilitate a dialogue concerning regional cooperation on oil infrastructure. Mamer did not provide a timeline for this discussion but noted that technical preparations were underway.

French President Emmanuel Macron also engaged in talks with Orban, with reports suggesting that a consensus could be achievable within the week. EU ambassadors are set to convene in Brussels on this issue soon.

However, comments from Hungary indicate that an immediate resolution is unlikely. Foreign Minister Peter Szijjarto characterized the leaders’ dinner as “a small step forward,” but emphasized the substantial work that remains. He argued that adopting the sanctions package would jeopardize Hungary’s energy security, making it challenging to secure enough oil to sustain its economy.

“As long as the European Commission does not provide solutions to these issues, Hungary cannot support this sanctions package, as it would be devastating for our economy,” he stated.

Orban highlighted last week that Hungary requires significant investment to modernize its energy system. Observers in Brussels noted a link to the European Commission’s criticism of Orban for undermining the rule of law, which has affected Hungary’s access to several billion euros earmarked for post-pandemic economic recovery.

The Commission recently introduced the conditionality mechanism, the first such unprecedented sanction, due to Hungary’s ongoing anti-corruption challenges, which could further diminish its access to EU funds critical for growth.

“Viktor Orban’s government is clearly seeking additional financial support, a delay on the conditionality mechanism, or both,” remarked the think tank Eurointelligence.

Some insiders are concerned that Orban, who has formed a close alliance with Russian President Vladimir Putin, may be attempting to ally himself further with Moscow and could prolong negotiations until the next EU summit scheduled for May 30.

“This would represent a victory for Orban,” commented an EU diplomat, expressing frustration over the disagreement that reveals divisions within the bloc and fuels criticism regarding its effectiveness.