Latest news with #JasonHovet
The Print
18-07-2025
- Business
- The Print
Slovakia to allow approval of new EU sanctions on Russia on Friday, PM Fico says
'At this point, it would be counterproductive to continue blocking the 18th sanctions package tomorrow,' Fico said in a video message posted on Facebook. Fico said on Thursday Slovakia had achieved as much as it could at this point, after blocking the EU's approval of the sanctions multiple times to demand guarantees against damages it fears from a separate EU plan to end all gas imports from Russia from 2028. PRAGUE (Reuters) -Slovakia will stop blocking the approval of the 18th package of European Union sanctions against Russia on Friday, Prime Minister Robert Fico said. EU countries' ambassadors will meet on Friday morning to approve the new sanctions, EU diplomats told Reuters. The European Commission last month proposed the 18th package of sanctions against Russia for its 2022 invasion of Ukraine, aimed at Moscow's energy revenue, banks, and military industry. The proposed package included a floating price cap on Russian oil of 15% below the average market price of crude in the previous three months, EU diplomats have said. The proposal would also ban transactions with Russia's Nord Stream gas pipelines, as well as banks that engage in sanctions circumvention. Slovakia has vetoed the package several times to try to win concessions on the separate plan to phase out Russian oil and gas, which, unlike sanctions, does not need unanimous support from EU countries. Slovakia continues to import Russian energy, including gas under a contract running until 2034, and often takes pro-Russian views on Ukraine. Fico said on Tuesday that Slovakia had received guarantees from the Commission on assistance in case of potential gas shortages or jumps in prices and transit fees, and assistance in disputes over potential damage claims from Russian supplier Gazprom. The Commission said in a letter to Slovakia on Tuesday it would intervene in potential litigation, and also clarify how an 'emergency break' can be triggered if gas prices spike because of scarce supply during the Russian gas phase-out. Brussels will also develop a solution that aims to reduce the costs of cross-border tariffs on gas and oil for Slovakia, said the letter. Malta had also previously expressed reservations about the proposed Russian oil price cap, but the government said on Thursday evening it would also support the new sanctions on Friday, EU diplomats told Reuters. (Reporting by Jan Lopatka and Jason Hovet, additional reporting by Kate Abnett and Andrew Gray in Brussels, writing by Jan LopatkaEditing by Jason Hovet and Rod Nickel) Disclaimer: This report is auto generated from the Reuters news service. ThePrint holds no responsibility for its content.
Yahoo
03-04-2025
- Automotive
- Yahoo
Export-reliant central Europe weighs repercussions of Trump tariffs
By Jason Hovet and Gergely Szakacs PRAGUE/BUDAPEST (Reuters) - Leaders in the Czech Republic and Poland signalled a readiness on Thursday to retaliate to new U.S. tariffs, while Hungary blamed Brussels for tensions with Washington, as central Europe began counting the likely costs of a trade war. Central European countries are among the European Union member states most reliant on trade, with goods exports as a share of output ranging from 76.6% in Slovakia to 39.4% in Poland - all above a 34.2% average for the whole EU. European Commission President Ursula von der Leyen described U.S. President Donald Trump's universal tariffs as a major blow to the world economy and said the 27-member bloc was prepared to respond with countermeasures if talks with Washington failed. Trump's announcements sent central Europe's stock markets and currencies to weaker levels, with the Czech crown taking the biggest hit, falling past the key 25 per euro mark in early trade before paring its losses. "The best tariffs are no tariffs. But there must be two parties who have the will to agree. Europe is prepared to negotiate with the U.S., but at the same time it is prepared to clearly respond," Czech Prime Minister Petr Fiala wrote on social media platform X. Polish Prime Minister Donald Tusk, whose country's large domestic market and lower reliance on car exports leaves it less exposed than regional peers, said "adequate decisions" were needed on reciprocal tariffs. Central Europe's trade links are particularly strong in the automotive sector, with the region sending 20% to 30% of its exports to Germany. S&P Global has said the U.S. tariffs could dent growth prospects in central Europe. While the Czech Republic's direct exposure to U.S. sales is low, its export-oriented car industry could still take a hit, the Czech Automotive Industry Association said last month. "The announced increase in tariffs will nevertheless have a significant impact on a number of Czech suppliers of parts and services, especially those supplied to German customers, and will thus mean a significant reduction in export opportunities and loss of orders for them," it said. The tariff hit for Slovakia could be even bigger, Erste Group economists said, putting the combined negative impact at 1.5 percentage points of gross domestic product (GDP) over three years. "The announced expansion to include all goods subject to tariffs, along with expected reciprocal measures from the EU, could double this negative effect, depending on the scope and strictness of the measures," the analysts said. Czech bank CSOB also estimated a 1.0-1.5% hit to the Czech economy in 2025-2026 when adding up also the hit to confidence and investor sentiment. German fiscal stimulus could dampen some of the impact from mid-2026, it said. Foreign Minister Peter Szijjarto of Hungary, whose right-wing, eurosceptic government has forged good ties with the Trump administration, blamed the fallout on EU officials. "The European economy and ultimately European people are paying for the incompetence of politicians in Brussels," Szijjarto said in a Facebook post. Sign in to access your portfolio
