EU and US align on tougher Russia sanctions amid stalled peace talks

The European Union and the United States are ramping up their joint efforts to impose fresh economic sanctions on Russia, as diplomatic attempts to end the ongoing war in Ukraine continue to falter. This week, European Commission President Ursula von der Leyen held a pivotal phone conversation with US Vice President JD Vance, focusing on maintaining a unified approach to sanctions against Moscow. The discussion, which took place on September 4, emphasized the need for close transatlantic collaboration to amplify the pressure on Russia's war economy.

According to European Commission spokesperson Paula Pinho, the call highlighted the effectiveness of coordinated sanctions, drawing parallels to previous successful measures like the G7 oil price cap implemented in 2022. Pinho noted that such unity not only disrupts Russia's ability to fund its military operations but also increases the costs for Moscow's refusal to engage in meaningful peace negotiations. This comes at a time when the EU is actively preparing its 19th sanctions package, building on the 18th package adopted in July 2025, which expanded restrictions on Russian oil, software provisions, and trade circumvention.

The EU's sanctions framework has evolved significantly since Russia's full-scale invasion of Ukraine in February 2022. Initially targeting individuals and entities linked to the aggression, the measures have broadened to include asset freezes, travel bans, and sector-specific restrictions on energy, finance, and technology. By September 2025, the EU has extended individual sanctions on over 2,000 Russian officials and businesses for another six months, underscoring the bloc's commitment to long-term pressure. These actions have reportedly reduced Russia's oil export revenues and limited access to critical technologies, though Moscow has adapted by rerouting trade to Asia and developing parallel financial systems with partners like China.

Delegation to Washington signals deeper collaboration

In a concrete step toward alignment, a high-level EU delegation led by sanctions envoy David O'Sullivan is set to travel to Washington on September 8 for in-depth discussions with US Treasury Department officials. This visit follows a preparatory call between US Treasury Secretary Scott Bessent and von der Leyen on September 5, where they explored various forms of economic pressure, including direct and secondary sanctions aimed at third countries facilitating Russia's evasion tactics.

European Council President António Costa announced the initiative, stating that Brussels has already begun drafting the new package and stressed the importance of joint US-EU action to compel Russia to cease hostilities. "The more we coordinate our approach with partners, the more effective sanctions are," Costa remarked, highlighting the need for both primary restrictions on Russia and secondary measures to close loopholes exploited through nations like India and Turkey. The delegation's agenda includes tightening controls on Russian energy exports, with recent EU proposals to phase out imports of Russian oil and gas by 2028 already under discussion.

This transatlantic push reflects a broader strategy to undermine Russia's military capabilities. Since 2022, combined US and EU sanctions have frozen approximately $300 billion in Russian central bank assets, with ongoing debates about using the profits from these assets to support Ukraine's reconstruction. However, challenges persist, as Russia has shifted over 90% of its oil exports to Asian markets and increased yuan-ruble settlements, diminishing the sanctions' immediate bite. Experts note that while sanctions have slowed Russia's economy - projected to grow at a modest 3.5% in 2025 - they have also inadvertently strengthened ties between Moscow and Beijing, creating a "DragonBear" economic bloc.

Failed peace initiatives fuel urgency

The renewed focus on sanctions comes amid growing frustration in Washington over stalled peace efforts. US President Donald Trump, who has prioritized ending the Ukraine conflict, set a 50-day deadline in July 2025 for Russia to agree to a ceasefire, warning of severe consequences if unmet. The August 8 deadline passed without action from Moscow, leading to a high-profile summit between Trump and Russian President Vladimir Putin in Alaska on August 15.

Despite initial optimism, the meeting ended without a concrete agreement, with Trump describing progress but acknowledging no breakthrough on key issues like territorial concessions and Ukraine's NATO aspirations. Trump's administration has expressed disappointment with Putin's intransigence, prompting a shift toward harsher economic measures to force negotiations. In recent weeks, the US has explored options like steeper tariffs on nations importing Russian oil, though allies like India have resisted such pressures.

European leaders share this impatience. Von der Leyen has reiterated the EU's goal to "increase the cost for Russia for not engaging in peace talks and eventually bring President Putin to the negotiating table." The war, now in its fourth year, has resulted in massive human and economic costs, with Ukraine facing ongoing Russian advances in the Donbas region. Sanctions remain a key non-military tool, with the EU and US aiming to target Russia's shadow fleet of tankers and financial networks evading restrictions.

Potential impacts and challenges ahead

The upcoming sanctions could include:

However, implementation faces hurdles. Russia's economic resilience, bolstered by high energy prices and alternative trade routes, has blunted previous sanctions' effects. Additionally, internal EU divisions - such as Hungary and Slovakia's calls to lift sanctions on certain Russian oligarchs - could complicate consensus. Norway's recent alignment with the EU in lowering the Russian oil price cap to $47.6 per barrel signals broader support, but global enforcement remains inconsistent.

As the delegation convenes in Washington, the transatlantic alliance seeks to demonstrate resolve, hoping that sustained economic isolation will ultimately compel Russia toward peace. Yet, with no immediate end to the conflict in sight, these measures underscore the West's long-term commitment to supporting Ukraine while navigating the complexities of global geopolitics.