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9/12/20

EU-US Relations: How Europe can defend itself against US economic sanctions

The idea of US senators threatening a German state-owned port with “devastating legal and economic sanctions” was something that seemed unthinkable – until now. But recent developments around the Nord Stream 2 Baltic Sea pipeline (designed to transport Russian gas directly to Germany) have broken yet another taboo in transatlantic relations.

Since December, Europe’s closest partner has been trying hard to prevent the completion of the pipeline, using coercive measures in an attempt to achieve this. The pressure of sanctions and an initial threatening letter led European companies to stop work on the project at the end of 2019.

Now US senators Ted Cruz, Tom Cotton, and Ron Johnson have ratcheted matters up yet further by sending another threatening letter to the operator of Sassnitz port, which serves as a key logistical base for building the pipeline. The Protecting European Energy Security Clarification Act (PEESCA), which is currently making its way through Congress and which Cruz introduced, takes the same line. Cruz and his Republican colleagues are threatening to destroy the port of Sassnitz through financial means. Should PEESCA become law, the United States will have significantly expanded its sanctions on European companies and officials.

 Read more at:
How Europe can defend itself against US economic sanctions | European Council on Foreign Relations

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