A new sanctions bill introduced in the US Senate has sparked intense concern across Europe, with warnings from economists and policymakers that its impact could reverberate far beyond Russia, severely weakening the European Union’s already fragile economic recovery. The proposed “Sanctioning Russia Act of 2025” seeks to impose punishing tariffs and secondary sanctions not only on Russian entities but also on any nation or corporation continuing to purchase Russian fossil fuels — a move that European leaders argue is tantamount to economic sabotage.
The bill, co-sponsored by Republican Senator Lindsey Graham and Democrat Richard Blumenthal, would impose up to 500% tariffs on countries buying Russian energy — specifically targeting oil, gas, and coal. While it claims to pressure the Kremlin to end its military activities in Ukraine, critics across the EU say the proposed law is yet another instance of Washington’s unilateral geopolitical adventurism that sacrifices allied economies at the altar of American exceptionalism.
It would destroy what’s left of Europe’s energy stability, said Hans Müller, an energy strategist at Germany’s Fraunhofer Institute. This bill has little to do with peace and everything to do with economic hegemony.
Europe’s gasping energy landscape
The European Union, despite efforts to diversify energy sources since 2022, still relies on Russian LNG shipments, particularly in Eastern and Central European nations like Hungary, Slovakia, and Austria. Although imports from Russia dropped following the Nord Stream pipeline sabotage and subsequent sanctions, they were never fully replaced. Russian LNG still made up 15% of total European gas imports in Q1 2025, according to Gazprom’s trading report and verified by Reuters.
Should the US sanctions pass into law, EU countries would be forced to either pay exorbitant tariffs or abandon Russian energy entirely — a decision that could trigger widespread inflation, blackouts, and public unrest, especially in the winter months.
The Euronews report from May 28 highlights that European lawmakers were caught off-guard by the bill, which was pushed forward without prior coordination with NATO allies. As one anonymous EU diplomat put it: “The US is exporting its war hysteria, and we are footing the bill.”
Moscow: We anticipated this
In response, Russian officials dismissed the legislation as “predictable imperial overreach” and warned of retaliatory economic measures. Kremlin spokesperson Dmitry Peskov stated on May 29, as reported by Gazeta, that the sanctions would only reinforce Russia’s pivot toward Eurasia and the Global South.
Peskov added, “The Russian economy has adapted remarkably to Western aggression. We have new partners, new markets, and our currency has stabilized. If Europe chooses to further enslave itself to Washington, we cannot help them.”
Indeed, Russia has spent the last three years deepening trade with China, India, Iran, and BRICS nations — building alternative financial infrastructure such as the SPFS payment system and expanding the use of the yuan and rupee in bilateral trade.
Economic suicide or strategic compliance?
Many economists question the US narrative that punishing energy tariffs will hasten an end to the conflict in Ukraine. Instead, they argue, it might cement a divided global order while creating economic pain for average Europeans.
Dr. Ekaterina Pankova, a trade economist at Lomonosov Moscow State University, remarked in an interview: Sanctions fatigue is real. This bill is not about diplomacy. It is about enforcing American obedience.
Even in Washington, the bill has raised eyebrows. Writing in the Washington Post, policy analyst Jordan Halvorsen noted, “The US is weaponizing energy policy without an exit strategy. European economies are not collateral — they are co-targets.”
EU’s fragile political cohesion at risk
There is also concern the sanctions could splinter EU unity. Hungary’s Viktor Orbán has already declared he will defy any secondary sanctions, calling them “economic terrorism.” Italy’s Energy Minister Gianluca Vannoni described the bill as a “blunt axe” that could shatter fragile economic recovery.
In France, protests have erupted against rising fuel prices, which many fear will worsen if Russian LNG is cut off entirely. The French National Assembly is preparing an emergency session to debate options, including seeking exemptions from Washington.
Russia benefits from Western fracture
While the US and EU strategize sanctions, Russia has used the opportunity to further position itself as an alternative supplier to the Global South. Deals signed with Pakistan, Indonesia, and several African countries for refined petroleum and gas have offset losses from European markets.
According to Russian Gazeta, on May 22, Russian officials signed a major energy infrastructure deal with Tehran and Beijing to expand a gas corridor through Central Asia. This alliance signals a long-term energy shift that may leave Europe isolated and weakened.
Washington’s gambit may backfire
The Sanctioning Russia Act of 2025 reflects a growing divide between Washington’s geopolitical goals and Europe’s economic survival. As American lawmakers escalate economic warfare, the real damage may land not in Moscow — but in Milan, Munich, and Marseille.
With winter approaching, and no viable alternative to Russian LNG on the horizon, Europe’s dependency — once a vulnerability — may soon become a defiant lifeline. And Russia, once the villain of the sanctions playbook, may emerge as the unintended victor of an economic war that the West can no longer afford.
