US warns EU over deal - possible LNG disruptions and price hikes
Kyiv • UNN
Washington has warned Brussels about a review of the terms of a $750 billion LNG supply agreement. A change in the provisions of the Turnberry agreement threatens energy shortages in Europe.
The United States has warned the European Union about the risk of losing favorable access to liquefied natural gas if it refuses to ratify a trade agreement. This refers to an agreement that provides for the purchase of energy resources worth hundreds of billions of dollars. This is reported by the Financial Times, according to UNN.
Details
At the heart of the dispute is the Turnberry agreement, which provides for the EU to purchase American energy resources worth up to $750 billion by 2028. The European Parliament is expected to vote on its ratification in the near future, but Brussels is considering the possibility of changing certain provisions.
Washington explicitly warns: any changes could affect the terms of cooperation.
If the agreement is not implemented, we will return to square one. The US still wants to work with Europe, but the terms may no longer be as favorable.
The American side also emphasizes that the energy factor is critical for the European economy.
There are other buyers. If Europe wants to survive economically, it needs energy – and we can provide it.
The situation is complicated by the escalation in the Middle East, where restrictions on shipping through the Strait of Hormuz and attacks on Qatar's infrastructure are already creating a shortage in the LNG market. Against this background, competition for alternative supplies, particularly from the US, is intensifying.
At the same time, the European Commission calls for not reviewing the agreements to avoid additional risks.
An agreement is an agreement, and we must adhere to it.
Experts note that the disruption or delay of the agreement could lead to a deterioration in gas supply conditions for Europe and a further increase in energy prices.