(Bloomberg) — European Union foreign ministers will discuss Ukraine with U.S. Secretary of State Antony Blinken Monday after Washington ordered family members at its embassy in Kyiv to leave due to the “threat of Russian military action.”
The ministers will say that “any further military aggression by Russia against Ukraine will have massive consequences and severe costs,” according to a draft of the meeting’s conclusions seen by Bloomberg. Specific sanctions, however, won’t be discussed.
Russian President Vladimir Putin has repeatedly denied he currently plans to attack Ukraine.
Over the weekend, Blinken said the allies wouldn’t immediately escalate sanctions on Russia for its military buildup around Ukraine. “The purpose of those sanctions is to deter Russian aggression and so if they’re triggered now, you lose the deterrent effect,” he said on CNN’s “State of the Union.”
Key Developments:
- U.S. orders families of diplomats out of Ukraine, citing the risk of a conflict.
- European economies are at risk in a clash with Russia.
- U.K. warns that Russia is plotting to install a pro-Kremlin government in Ukraine.
- German navy head quits after making remarks favorable to Russia.
All times are local (CET).
Denmark Threatens ‘Never Seen Before’ Sanctions (9:40 a.m.)
Danish Foreign Minister Jeppe Kofod warned that the EU was ready to impose sanctions “never seen before” against Russia in the event it invades Ukraine.
“We are ready to undertake the most severe sanctions, also more severe than in 2014,” he said, referring to the measures imposed by the bloc after Russia annexed Crimea. Kofod said Putin would be “totally isolated” and would pay a heavy price if he tried to use military force to change Europe’s borders.
Ukraine Says U.S. Decision to Remove Families ‘Premature’ (9:31 a.m.)
The decision to remove families of U.S. diplomats from Kyiv was “premature,” Oleh Nikolenko, a spokesman from the Ukrainian foreign ministry, said on Monday.
There has been “no significant change in the security situation recently” because the threat of new waves of Russian aggression has been the same since 2014 and the build-up of Russian troops near Ukraine’s border began in April, Nikolenko said.
European Gas Extends Gain With Threat of Conflict (9:21 a.m.)
European natural gas prices gained as much as 7% at start of trading on Monday. Should the tensions between Russia and Ukraine escalate further, uncertainty around the impact on European gas supplies could briefly push prices to fresh records.
Western sanctions on the newly built Nord Stream 2 pipeline would “potentially end up curtailing flows to Europe for an indefinite period,” Goldman Sachs said in a note.
U.S. Mulls Sending Troops to Eastern Europe, Baltics (9:21 a.m.)
U.S. President Joe Biden is considering sending troops, warships and aircraft to Eastern Europe and the Baltics to support allies in the North Atlantic Treaty Organization, the New York Times reported.
That could involve sending 1,000 to 5,000 troops to eastern Europe, a number that could be boosted tenfold if necessary, according to the report.
Germany Weighs Evacuating Families of Diplomats (8:53 a.m.)
Germany is considering whether to follow the U.S. in evacuating family members of diplomats from its embassy in Ukraine, according to officials familiar with the discussions.
A decision could be made as soon as Monday, according to a German official, who asked not to be identified because the talks are private.
The U.S. announced overnight that it was ordering family members of its diplomats to leave Ukraine, while non-essential staff would be able to depart voluntarily.
Invasion Would Halt NS2: Luxembourg Minister (8:53 a.m.)
The almost-completed Nord Stream 2 gas pipeline between Russia and Germany would not be allowed to operate if Moscow decided to invade Ukraine, according to Luxembourg Foreign Minister Jean Asselborn.
“If there is a Russian intervention then we’ll be in a totally different situation,” Asselborn, who has been in the post since 2004, said in an interview with Germany’s Deutschlandfunk radio. “Everyone knows, Putin included, that if there is an invasion no gas will flow through this pipeline.”
EU Says Families of Diplomats Staying in Ukraine (8:26 a.m.)
Josep Borrell, the EU’s foreign policy chief, told reporters ahead of the meeting that the bloc has no plans to ask the families of diplomats in Ukraine to leave, after the U.S. took such a step.
“Secretary Blinken will explain to us the reasons of this announcement,” Borrell said. “We are not going to do the same thing because we don’t know any specific reasons.”
The foreign ministers will not approve a package of possible sanctions against Russia today, Borrell said. “Be sure that everything will be ready when needed, but we are not going to announce any concrete measures.”
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