Russian Deputy Foreign Minister Alexander Grushko said that punitive measures and the interruption of trade relations with Russia have greatly affected the European Union, with the cost of these measures estimated at approximately $1.5 trillion.
Currently, the trade volume between the two sides is declining significantly.
The Russian diplomat made these statements during his participation in the Verona Eurasian Economic Forum in Samarkand.
He explained that the volume of trade between Russian companies and their European partners was $417 billion in 2013, and it was expected to reach $700 billion this year if there were no sanctions.
Regarding the trade situation between Russia and Europe after the imposition of expanded sanctions, Grushko pointed out that the volume of bilateral trade in 2022 reached the level of only 200 billion dollars, and in the first half of this year it reached $47 billion, and it’s expected to decrease to $50 billion in the year, as the upcoming year it may head towards zero.
He also alluded to the challenges facing the industrial sector in Germany, which is considered the engine of the European economy, as he pointed out that the German industry buys gas at prices three times higher than the internal market prices in the United States.
Despite this, production is heading to North America despite warnings issued by the business sector.
The European Union’s loss of relations with Russia and the imposition of sanctions are causing massive losses amounting to about $1.6 trillion, which exceeds the size of the economies of some countries such as Spain, the Netherlands, and Türkiye, and is equivalent to about 40% of Germany’s economy in 2022, according to data from the Statista economic website.
After Russia launched a military operation in Ukraine in 2022, Western countries, including the European Union, imposed wide-ranging sanctions on Moscow as a result of escalating tensions and hostility.
In response to this situation, Russia decided to direct its attention eastward and strengthen its relations with Asian countries.