(Click on Image to Enlarge)
Mauldin Economics: One Way Russia Can Retaliate Against US Sanctions
The US Congress has passed new sanctions targeting Russia’s energy companies. Among the other notable aspects of the sanctions is that they take some authority away from the US president (who used to be able to implement some measures but not others at his discretion) and give it to Congress.
Recognizing that a vital sector in its economy has even less chance of relief than it once had, Russia has retaliated. It has reduced the number of diplomats it has in the US and has seized property used in Russia by US diplomats.
Energy sales are an important source of revenue, of course, but for Russia they are more than that: They are an instrument of geopolitical power. They give Moscow considerable influence over the countries whose energy needs are met by Russian exports. If Russia intends to retaliate further against the US, its energy supplies, especially those it sends to Europe, may be its best option to do so.
Read more ....
WNU editor: Russia is not going to cut its energy exports to Europe .... they are dependent on the income that is generated from these sales. Besides .... European countries like Germany have condemned US sanctions, so why should the Kremlin punish someone that supports them. Nope .... to retaliate Russia is going to focus elsewhere, and where that may be is anyone's guess.
Update: No kidding .... After sanctions, Tillerson may find Russia talks an uphill climb (Reuters).
Update #2: Russia's Lavrov, U.S.'s Tillerson to Meet August 6-8: Russian Foreign Ministry (US News and World Report/Reuters)
0 Response to "Can Russia Retaliate Against U.S. Sanctions?"
Post a Comment