EditGreece blocks EU’s 21st sanctions package against Russia over LNG shipping concerns
Athens warns that expanded restrictions on Russian LNG transport could hand market share to non-EU rivals, delaying unanimous approval of new measures
Greece has emerged as the key obstacle to the European Union’s latest round of sanctions against Russia, objecting to provisions targeting Russian liquefied natural gas (LNG) transport. EU envoys failed to reach agreement on the 21st sanctions package on 15-16 July, pushing talks to 23 July.
According to Greek government officials, a proposed ban on EU operators transferring or marketing Russian LNG to third countries risks undermining Greece’s dominant position in the global LNG carrier market. Greece competes fiercely with Japan, China, and the United States in this sector.
“Europe should not end up surrendering entire sectors of economic activity or market share to non-EU players as an unintended consequence of its own sanctions policy,” one official told Reuters. “Sanctions should erode Russia’s economic capacity – not create strategic windfalls for others at Europe’s expense.”
Shipping interests at stake
Greece operates one of the world’s largest LNG shipping fleets. Companies such as Dynagas, part of shipping magnate Georgios Prokopiou’s empire, manage specialized Arc7 icebreaking LNG carriers dedicated to Russia’s Yamal LNG project. A broad transport ban could severely impact these operations, as the vessels are purpose-built for Arctic routes and have limited alternative uses.
The move echoes Greece’s (along with Cyprus and Malta) previous interventions in sanctions negotiations to protect its maritime industry. Reports link Athens’ stance directly to protecting Dynagas’ contracts with the Yamal project, which continues to generate significant revenue for Russia.
Broader context of the 21st package
The stalled package aims to tighten pressure on Moscow over its war in Ukraine, building on previous rounds that have already phased out much Russian pipeline gas and introduced LNG import restrictions effective 2027. Earlier clarifications from the European Commission confirmed that EU operators are barred from trading Russian LNG globally, not just into the bloc.
Other countries, including Austria, have also raised objections for different reasons, highlighting the challenge of securing unanimity among all 27 member states. The oil price cap remains unchanged at $44.10 per barrel for now.
Balancing act for the EU
Greece has consistently supported sanctions against Russia but insists they must be “carefully calibrated” to avoid self-inflicted economic damage. This position reflects broader tensions within the bloc: accelerating the energy transition away from Russian fossil fuels while safeguarding strategic industries and competitiveness amid global rivalries.
Talks will resume next week as the EU seeks to maintain a united front without triggering unintended market shifts that could benefit competitors in Asia or elsewhere. The outcome could influence not only energy flows but also the future shape of Europe’s sanctions strategy.
With Reuters
Caption: Fisherman is seen against the liquefied natural gas (LNG) tanker ETYFA-Prometheas at the Malacca Strait in Malaysia, 15 April 2026. EPA/FAZRY ISMAIL
Updated: July 17, 2026 - 14:16
