Hungary raises stakes in its dispute with Ukraine over Russian oil transit, threatening to block crucial EU military aid.
At a glance:
- Hungary claims Ukraine’s ban on Lukoil oil transit endangers its energy security
- Foreign Minister Szijjártó threatens to block €6.5 billion in EU military aid to Ukraine
- Hungary and Slovakia have asked the EU to mediate the dispute
- Analysts suggest Hungary has alternatives to Russian oil but has increased imports
As Hungary assumes its six-month EU presidency, tensions are escalating between Budapest, Kyiv, and Brussels over energy supplies and support for Ukraine. The Hungarian government, led by Prime Minister Viktor Orban, has threatened to block crucial European Union military aid to Ukraine in response to Kyiv’s restrictions on Russian oil transit.
Oil Transit Dispute
Hungarian Foreign Minister Peter Szijjártó reportedly claimed that Ukraine’s ban on oil transit from Russia’s Lukoil company through the Druzhba pipeline poses a fundamental risk to Hungary’s energy security. The ban, imposed by Ukraine in June 2024, has reportedly led to a significant drop in Hungary’s oil imports.
EU Aid Blockage Threat
In response to the oil transit issue, Hungary has threatened to block the allocation of over €6.5 billion in EU military aid to Ukraine through the European Peace Facility (EPF). Szijjártó stated that this aid would be blocked until the transit issue is resolved.
Diplomatic Maneuvers
Hungary and Slovakia have requested EU mediation in the dispute with Ukraine. The European Commission is reportedly studying the request, with further discussions expected. Hungary has given the EU a three-day deadline to act on their request before potentially pursuing legal action.
Hungary’s Next Steps
While Hungary claims the oil transit ban threatens its energy security, analysts suggest the country has had ample time to diversify its energy sources. Reports indicate that Hungary has actually increased its imports of Russian oil since the start of the war in Ukraine, despite having access to alternative supply routes through Croatia and Italy.
