EU needs to rethink Russian sanctions to cut energy costs, Hungary's Orban says

The European Union needs to reconsider sanctions against Russia as they are keeping energy prices elevated, hindering the bloc's economic competitiveness, Hungarian Prime Minister Viktor Orban said on Friday. European Union leaders signed a declaration on competitiveness at their informal summit last week. Orban said U.S. companies pay a quarter of the amount their European counterparts spend on gas and electricity, a disadvantage that could not be overcome by other means.

BUDAPEST (Reuters) - The European Union needs to reconsider sanctions against Russia as they are keeping energy prices elevated, hindering the bloc's economic competitiveness, Hungarian Prime Minister Viktor Orban said on Friday. European Union leaders signed a declaration on competitiveness at their informal summit last week. "Energy prices need to be lowered by all means.

This means that sanctions need to be reconsidered because under the current sanctions policy, energy prices will not go lower," Orban said in an interview on Hungarian public radio. Orban said U.S.

companies pay a quarter of the amount their European counterparts spend on gas and electricity, a disadvantage that could not be overcome by other means. Since Russia invaded Ukraine in early 2022, Orban has emerged as a vocal critic of EU sanctions against Moscow and the bloc's financial and military support for its neighbour. While countries in western Europe have made serious efforts to wean themselves off Russian energy, landlocked Hungary gets 80-85% of its gas from Russia, with 80% of its crude oil supplies also coming from its former communist ally.

(Reporting by Anita Komuves and Gergely Szakacs; Editing by Kirsten Donovan).