Things began to change after the disintegration of the Soviet Union in 1991
Independent Ukraine agreed to continue transiting Russian gas to Europe. That led to some nasty disputes on transit fees
And pushed Russia to explore other routes that circumvented Ukraine
Independent Ukraine agreed to continue transiting Russian gas to Europe. That led to some nasty disputes on transit fees
And pushed Russia to explore other routes that circumvented Ukraine
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Contract disputes after the invasion of Ukraine, coupled with the Nord Stream explosion, resulted in total flows falling since 2022
Both sides don't seem near a new deal anytime soon
Europe is now increasingly exposed to market volatility as it leans on LNG imports
Gas prices are up 50% year-on-year (but still far from the 2022 record)
That's now ending. And Europe is set to face higher-for-longer gas prices
Due in part to the loss of Russian energy and other factors, Germany's economy is 5% smaller than it would have been if the pre-pandemic growth trend had been maintained
https://www.bloomberg.com/news/features/2024-12-15/germany-is-unraveling-and-the-decline-threatens-to-become-irreversible?accessToken=eyJhbGciOiJIUzI1NiIsInR5cCI6IkpXVCJ9.eyJzb3VyY2UiOiJTdWJzY3JpYmVyR2lmdGVkQXJ0aWNsZSIsImlhdCI6MTczNTc0NTYyNSwiZXhwIjoxNzM2MzUwNDI1LCJhcnRpY2xlSWQiOiJTT0syR0pUMEcxS1cwMCIsImJjb25uZWN0SWQiOiJFOTY4RDMzNDhBQTQ0NUFFQUM1QUFGMEQ0NUI4NjlEQiJ9.CAqS6g-otUiUJs3Q754cpLYOH8Bg9ZjYG-m55GCDJ6A&sref=DLVyDcXJ