European Union appears ready to impose substantial sanctions on Russia as a clear shift in attitude is notable across the 28-member bloc.
After the downing of a Malaysia Airlines passenger jet over territory controlled by pro-Russian separatists in eastern Ukraine, European diplomats meeting in Brussels on Tuesday are expected to move ahead with a sanctions package targeting major sectors of the Russian economy, including banking, energy and arms.
After a conference call on Monday between President Obama and the leaders of Britain, France, Germany and Italy, they confirmed "their intention to adopt new sanctions against Russia”, according to a written statement from the office of President Francois Holland of France.
The five said they regretted that Russia "has not taken the concrete measures expected of it in order to ensure the control of the Russo-Ukrainian border”, the French statement said.
The steps risk direct harm to European interests by curbing business with Russia and courting countersanctions from Moscow. But in contrast to previous debates this year over how aggressively to confront President Vladimir V. Putin over Russian incursions into Ukraine, political and business leaders in Germany – the key player in determining Europe’s response – now appear united behind the need to take action.
Several prominent German business leaders indicated in recent days that they supported tougher sanctions or were at least resigned to them, giving Chancellor Angela Merkel more political leeway in Germany to back what is expected to be the most far-reaching response yet by the Europeans to Russia’s behavior in the Ukraine.
"In light of the most recent escalation, new sanctions are unavoidable”, Hannes Hesse, executive director of the German Engineering Federation, which represents makers of machinery and heavy equipment, said in a statement.
Mr. Hesse said that the consequences for some German companies would be "bitter” but acknowledged that diplomatic efforts had largely failed.
After months in which the United States has lobbied Europe to take a more assertive stance against Mr. Putin, the White House signaled on Monday that there was now a united trans-Atlantic front on the issue and that Washington would impose additional sanctions as well.
"We expect the European Union to take significant additional steps this week, including in key sectors of the Russian economy," Tony Blinken, Mr Obama's deputy national security adviser, said. "In turn, and in full coordination with Europe, the United States will implement additional measures itself."
American officials have already prepared a package of additional penalties that are likely to target Russia’s financial, energy and defense sectors.
