The Daily Telegraph

Europe’s anger as US targets Putin with gas sanctions

- By Rob Crilly in New York

EUROPEAN leaders have reacted angrily to proposed American sanctions on Russia that they say target Moscow’s new gas pipeline to the continent, threatenin­g retaliatio­n if the measures harm the region’s economy.

The stand-off comes amid strained relations with the US over Donald Trump’s aggressive rhetoric, and provoked accusation­s that America was trying to promote its own gas exports to Europe by blocking Russia.

It raises the threat of a new energy war and a breakdown in trans-atlantic unity against Russian aggression.

A spokesman for Angela Merkel, the German chancellor, said she was concerned by the sanctions. “It is, putting it mildly, a peculiar move by the US Senate,” he said.

Senators insist their bill – passed by a margin of 98 to two – is designed to punish Moscow for interferin­g in last year’s presidenti­al election and limit Mr Trump’s ability to lift sanctions.

It includes punitive measures for anyone helping Russia build energy export pipelines. The bill must still be approved by the House of Representa­tive and Mr Trump, but already Berlin fears it could bring fines against European firms involved in Nord Stream 2, a project to build a pipeline carrying Russian gas under the Baltic Sea.

Brigitte Zypries, the German economy minister, accused Washington of abandoning a joint approach with Europe on sanctions against Russia and threatened retaliatio­n if Mr Trump signed it into law. “If he does, we’ll have to consider what we are going to do against it,” she said.

It marks the latest area of conflict between Washington and Berlin since Mr Trump took power, following the president’s criticism of Germany’s trade surplus, defence spending and his broader attacks on global co-operation.

The Nord Stream 2 pipeline is being built beneath the Baltic Sea to supply Russian gas to Germany and beyond.

It avoids older routes through Ukraine, which have been disrupted by disputes between Kiev and Moscow.

In a joint statement, Sigmar Gabriel, the German foreign minister, and Christian Kern, the Austrian chancellor, said European energy supplies were a matter for Europe, not the US. They accused the US of trying to elbow its way into the EU market to protect American jobs by deploying foreign policy for economic gain.

“To threaten companies in Germany, Austria and other European firms with fines in the US if they take part in or finance energy projects like Nord Stream 2 represents a new, negative dimension to Us-european relations,” they said.

The bill is designed in part to make it more difficult for Mr Trump to lift sanctions imposed on Russia for annexing Crimea. As a candidate, he was vocal in his praise for Vladimir Putin, raising suspicions that in office he would ease restrictio­ns in return for Russian support.

It also introduces sanctions against anyone conducting cyber attacks on behalf of the Russian government, following evidence that Moscow was behind attempts to swing the presidenti­al election in Mr Trump’s favour.

“The legislatio­n sends a very, very strong signal to Russia about the nefarious activities they’ve been involved in,” said Bob Corker, Republican chairman of the Senate foreign relations committee.

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