Top EU diplomat says Europe’s prosperity is based on cheap gas from Russia, warns of ‘perfect storm’ leading to ‘global recession’


At the annual meeting of European Union ambassadors, the top diplomat said the continent was “cut off” due to multiple “black swan” events from sources of prosperity and security, citing global partners such as Russia, China and the United States. He said.

“Our prosperity is based on the cheap energy that comes from Russia. Russian gas – cheap and probably affordable, safe and stable. [to be] The European Union’s High Representative for Foreign and Security Policy Josep Borrell said on October 10: He also referred to important ties with China “to obtain technology transfer, investment and cheap goods.”

Borrell said China and Russia could no longer depend on each other as before and that “the best energy is domestically produced”, meaning a “strong restructuring” of the European economy. do.

He said the United States is a source of security for Europe. Even if the U.S. and Europe were “on good terms and cooperating a lot,” the current political situation could change. “instead of [Joe] Biden, it would have been [Donald] Trump or a White House figure like him? ”

Ironically, it was Trump, in his September 2018 speech to the United Nations General Assembly, who warned that Europe, especially Germany, was “becoming totally dependent on Russia’s energy”, while at the same time ignoring NATO’s obligations. could not be achieved.

Borrell said Europe needs to “take on more responsibility” and play a bigger role in safeguarding its economic and political future.

“You, United States, keep us safe. China and Russia provided the foundation for our prosperity. This is a world that no longer exists.”

replace russian energy

Borrell spoke about replacing Russian gas imports with imports from other countries, but also about warnings from French President Emmanuel Macron.

“We are pleased to be importing large volumes of liquefied natural gas. [LNG] Substituting Russian gas with American and Norwegian gas, or Azerbaijan gas,” Borrell reiterated his concerns about security changes in American politics.

“You can imagine a situation where our critical dependence on LNG from the US could also be at stake.”

Borrell spoke of the war in Ukraine, which Americans had warned about, and Europeans found “hard to believe”.

“And I remember that time [U.S. Secretary of State] Tony Blinken called me and said, “It’s going to happen this weekend.” And indeed, two days later, at 5 o’clock in the morning, [Russia] started bombing Kyiv. ”

global recession

The war in Ukraine, the fierce US-China rivalry, and the food and energy crises around the world have created a “perfect storm” in which rising prices and accompanying interest rates lead to a “global recession.”

The global economy follows the US Federal Reserve. [devalued]Prior to the euro, Borrell said the region would “follow the monetary policy dictated by Germany.”

Borrell’s warnings about international dependencies come as the World Bank and International Monetary Fund begin their first face-to-face meetings since the pandemic. Executives from both organizations called for concerted action as the world faces an “era of volatility.”

World Bank President David Malpass said at the outset of the debate, “There is a risk and a real danger that the world will go into recession next year.”

Naveen Aslapury


Naveen Athrappully is a news reporter covering business and world events for The Epoch Times.