Berlin, July 2025 — German Chancellor Friedrich Merz has confirmed a major breakthrough in negotiations with the Slovak government over the adoption of the European Union’s 18th sanctions package, aimed at further restricting Russia’s economy. In an interview with German broadcaster ARD, Merz described the forthcoming measures as “the most decisive in the past three and a half years” and expressed confidence that a compromise would be reached soon, despite prolonged discussions with countries dependent on Russian resources.
Talks, which began in the spring of this year, had long been stalled due to objections from Bratislava. Slovakia, like Hungary before it, has emphasized its high level of energy dependence on supplies from Russia. According to Reuters, around 85% of the natural gas consumed in Slovakia comes from Russia. This makes Slovak industry — including companies with foreign capital — particularly vulnerable to potential disruptions.
Nevertheless, after several tense rounds of consultations, Merz announced that a basic agreement had been reached, paving the way for the approval of the new sanctions package. Its core aim is to tighten restrictions on the so-called “shadow fleet” of oil tankers used to circumvent current sanctions, as well as to impose tougher measures against the banking sector and individuals tied to Russia’s military industry.
The new package places special emphasis on asset-tracking and freezing mechanisms, along with stricter controls on the export of sensitive technologies that could be used in defense manufacturing. According to Merz, these measures are intended not only to apply economic pressure but also to “eliminate loopholes” exploited under previous rounds of sanctions.
Notably, despite internal disagreements, the move toward stricter measures retains broad political backing. Polls indicate that most political forces in major EU nations continue to see sanctions as a necessary tool of pressure. Meanwhile, the business community — particularly in Eastern Europe — is warning of potential risks to manufacturing and the overall investment climate.
Last week, Slovak Prime Minister Robert Fico once again voiced concern over the European Commission’s plan to end all Russian gas imports by 2028, citing the potential for a €20 billion lawsuit from Gazprom. Such a development, he warned, could deal a severe blow to Slovakia’s economy. However, Merz stressed that the compromise reached took these concerns into account: “We are striving for a united yet realistic approach, where national interests are considered alongside the broader strategy.”
If formally adopted in the coming weeks, the new package would mark a pivotal step in the EU’s long-term pressure strategy. Following the 17th package approved in May 2025, it would further solidify Brussels’ position as a central force in ramping up economic barriers in response to Moscow’s actions — even as the bloc faces increasingly complex energy and political challenges from within.
