FT: The European Union may introduce sanctions against Türkiye for cooperation with Russia

The European Union is discussing the possibility of introducing sanctions against Türkiye if it helps Russia circumvent Western restrictions.

Financial Times writes about it with reference to its own sources.

The EU is concerned about the strengthening of cooperation between Türkiye and the Russian Federation, which claims to increase trade and partnership in other areas. The sources note that there have been no official negotiations regarding sanctions yet, but Brussels is "watching Turkish-Russian relations more and more closely." The EU is also considering the possibility of putting pressure on Western companies and banks to force them to leave the Turkish market if they continue to help the Russian Federation there.

Currently, there is no unity among EU member states; besides, many states do not want to lose access to the Turkish market. At the same time, this could be a serious blow for the Turks, as their economy suffers greatly from high inflation.

Sources of the publication also write that Türkiye was warned about such plans by the West due to its rapprochement with Russia. The USA threatened to introduce secondary sanctions against it for helping the Russian Federation. However, this does not stop Türkiye from cooperating, in particular in the banking sector.

Turkish President Recep Erdogan has already announced the development of the Russian payment system "Mir" on the territory of the country, which is supposed to make life easier for Russian tourists. But in Europe, such statements were received with extreme caution, as it would create an opportunity to circumvent Western financial sanctions.

• According to The Washington Post, Russia has turned to Türkiye for help in circumventing the sanctions imposed against it because of the war in Ukraine. They hope that Türkiye will agree to proposals that will help it avoid sanctions restrictions in the banking, energy, and industrial sectors. The proposal calls for Erdoganʼs government to allow Russia to buy stakes in Turkish refineries, oil terminals, and storage tanks, a move that economists say could help hide the origin of exports after the European Unionʼs oil embargo takes full effect next year.
• Russia is also demanding that several state-owned Turkish banks open correspondent accounts for the largest Russian banks, which economists and sanctions experts say would be a flagrant violation of Western sanctions, and that Russian industrial producers be allowed to operate in free economic zones in Türkiye.