Oil: Hungary calls for EU intervention against Ukrainian blockade

Hungary accuses Ukraine of blocking Russian oil deliveries transiting through its territory, and is asking the European Union to intervene to resolve this conflict, which threatens its energy security.

Share:

Hungary-Ukraine oil dispute

Subscribe for unlimited access to all the latest energy sector news.

Over 150 multisector articles and analyses every week.

For less than €3/week*

*For an annual commitment

*Engagement annuel à seulement 99 € (au lieu de 149 €), offre valable jusqu'au 30/07/2025 minuit.

Hungary is in the midst of an energy dispute with Ukraine, which is hindering the transit of Russian oil to Budapest.
This situation is jeopardizing energy supplies to Hungary and Slovakia, both of which depend on crude oil deliveries via the Druzhba pipeline. Hungary benefits from an exemption from the European oil embargo imposed after Moscow’s offensive, but Kiev’s recent actions pose serious challenges.
Hungary’s Foreign Minister, Peter Szijjarto, denounced Ukraine’s decision to block deliveries from Russian giant Lukoil.
This decision, described as “unacceptable and incomprehensible”, represents a serious threat to the energy security of both countries.
Szijjarto voiced these concerns at a meeting with his counterparts in Brussels, stressing that the temporary measures put in place are not viable in the medium and long term.

Consultations requested with the European Union

Faced with this situation, Hungary and Slovakia have asked the European Commission to launch consultations within three days to resolve what they consider to be a “violation of the EU-Ukraine Association Agreement”.
Slovak Prime Minister Robert Fico also criticized Kiev’s tightened sanctions against Lukoil, calling them “absurd measures” harmful to certain EU members.
In the absence of an amicable settlement, an arbitration tribunal could be set up to rule on the dispute.
Hungary, while maintaining tense relations with Kiev, has maintained close ties with Moscow.
Hungarian Prime Minister Viktor Orban is the only EU leader to have maintained close relations with the Kremlin, particularly in the energy sector.

Reactions from the European Union

Viktor Orban’s recent visit to Moscow to meet Vladimir Putin has exacerbated tensions within the EU.
The meeting, which took place without prior consultation, angered the EU’s partners.
In response, the European Commission announced a boycott of meetings in Hungary, limiting representation to senior officials until the end of the year.
The EU is also considering boycotting a meeting of foreign ministers scheduled to take place in Budapest in August.
This complex situation highlights the current energy and diplomatic challenges in Central Europe.
Relations between Hungary, Ukraine and Russia, and the EU’s responses, will continue to evolve over the coming weeks, with potential implications for the region’s energy security.

Baghdad and Damascus intensify discussions to reactivate the 850 km pipeline closed since 2003, offering a Mediterranean alternative amid regional tensions and export blockages.
A free trade agreement between Indonesia and the Eurasian Economic Union is set to be signed in December, aiming to reduce tariffs on $3 bn worth of trade and boost bilateral commerce in the coming years.
The visit of India's national security adviser to Moscow comes as the United States threatens to raise tariffs on New Delhi due to India’s continued purchases of Russian oil.
Brussels freezes its retaliatory measures for six months as July 27 deal imposes 15% duties on European exports.
Discussions between Tehran and Baghdad on export volumes and an $11 billion debt reveal the complexities of energy dependence under U.S. sanctions.
Facing US secondary sanctions threats, Indian refiners slow Russian crude purchases while exploring costly alternatives, revealing complex energy security challenges.
The 50% tariffs push Brasília toward accelerated commercial integration with Beijing and Brussels, reshaping regional economic balances.
Washington imposes massive duties citing Bolsonaro prosecution while exempting strategic sectors vital to US industry.
Sanctions imposed on August 1 accelerate the reconfiguration of Indo-Pacific trade flows, with Vietnam, Bangladesh and Indonesia emerging as principal beneficiaries.
Washington triggers an unprecedented tariff structure combining 25% fixed duties and an additional unspecified penalty linked to Russian energy and military purchases.
Qatar rejects EU climate transition obligations and threatens to redirect its LNG exports to Asia, creating a major energy dilemma.
Uganda is relying on a diplomatic presence in Vienna to facilitate technical and commercial cooperation with the International Atomic Energy Agency, supporting its ambitions in the civil nuclear sector.
The governments of Saudi Arabia and Syria conclude an unprecedented partnership covering oil, gas, electricity interconnection and renewable energies, with the aim of boosting their exchanges and investments in the energy sector.
The European commitment to purchase $250bn of American energy annually raises questions about its technical and economic feasibility in light of limited export capacity.
A major customs agreement sealed in Scotland sets a 15% tariff on most European exports to the United States, accompanied by significant energy purchase commitments and cross-investments between the two powers.
Qatar has warned that it could stop its liquefied natural gas deliveries to the European Union in response to the new European directive on due diligence and climate transition.
The Brazilian mining sector is drawing US attention as diplomatic discussions and tariff measures threaten to disrupt the balance of strategic minerals trade.
Donald Trump has raised the prospect of tariffs on countries buying Russian crude, but according to Reuters, enforcement remains unlikely due to economic risks and unfulfilled past threats.
Afghanistan and Turkmenistan reaffirmed their commitment to deepening their bilateral partnership during a meeting between officials from both countries, with a particular focus on major infrastructure projects and energy cooperation.
The European Union lowers the price cap on Russian crude oil and extends sanctions to vessels and entities involved in circumvention, as coordination with the United States remains pending.
Consent Preferences