Moscow Warns Of "Painful Response" To US Sanctions; EU Ready To Retaliate In "A Matter Of Days"

Following yesterday's almost unanimous House vote to pass new sanctions against Russia, on Wednesday Moscow threatened to retaliate, saying that - as expected - the action has made it all but impossible to achieve the Trump  administration’s goal of improved relations, and vowed to retaliate to the latest sanctions which Russia views as senseless and destructive according to its deputy foreign minister said.

As described yesterday, the bill passed by a vote of 419-3 on Tuesday , boosted sanctions against Russia just 3 weeks after Trump and Putin held their first official meeting. The legislation, which now goes to the Senate, requires Trump to seek congressional approval before easing sanctions imposed under the Obama administration for "Russian meddling" in the 2016 presidential elections and its support for separatists in Ukraine. So far Trump has not definitively stated if he will support the bill with the White House sending mixed signals whether Trump will sign it.

The bill seeks to impose new economic sanctions against North Korea, Iran, and Russia, and received overwhelming support from US legislators. Moscow is being targeted for alleged interference in the 2016 presidential election, an allegation that Russia denies and which has not been backed by convincing public evidence. Russia's foreign ministry expects the bill to become law, which would inevitably prompt Moscow to retaliate, Ryabkov warned.

“What is happening defies common sense. The authors and sponsors of this bill are taking a very serious step towards destroying any potential for normalizing relations with Russia,” Sergey Ryabkov told the media on Wednesday, referring to an act adopted earlier by the US House of Representatives.

“We told them dozens of times that such actions would not be left without a response. I believe the signal went through even though present-day Washington tends to listen to and hear from no one but itself,” Ryabkov added.

Russian senator Frants Klintsevich, who chairs the Defense and Security Committee, echoed Ryabkov's sentiment. He said that Washington's stance is dragging the world into a new Cold War, and compared the looming new sanctions to the notorious 1974 Jackson–Vanik amendment which targeted the Soviet Union with economic sanctions for obstructing the repatriation of its Jewish citizens to Israel, but survived even after the discriminative policy was canceled. The legislation has been is viewed by many in Russia as an example of unfair economic competition by the US under a pretext of protecting human rights.

Klintsevich said the US move “will make very difficult, if possible at all, any Russian-American cooperation on solving important international issues, including fighting against terrorism.”

Konstantin Kosachyov, chairman of the international affairs committee in Russia’s upper house of parliament, said on Facebook that hope “is dying” for improved relations because the scale of “the anti-Russian consensus in Congress makes dialogue impossible and for a long time,” adding that Russia should prepare a response to the sanctions that’s “painful for the Americans."

Trump will sign the law because “he’s a prisoner of Congress and anti-Russian hysteria,” Alexei Pushkov, Russian upper house of parliament senator said on Twitter. The sanctions are “a new stage of confrontation,” he said.  McDonald’s restaurants in Russia aren’t “a sacred cow” and should face “sanitary sanctions,” Pushkov said in a separate tweet. The fast food chain’s press office in Russia declined to comment immediately. As Bloomberg notes, the largest McDonald’s in Russia was shuttered for three months in 2014 amid about 250 safety probes of the company’s restaurants by officials after the U.S. imposed sanctions over Russia’s annexation of Crimea.

Russia has prepared “economic and political measures that will be adopted if the Senate and Trump support the bill,” said Vladimir Dzhabarov, deputy chairman of the international affairs committee in the upper house, the RIA Novosti news service reported. Relations with the U.S. “are at such a low level that we have nothing to lose” by retaliating, he said.

It wasn't just Russia: the US bill also sparked concern in Europe. European governments and business leaders fear the sanctions would hurt crucial joint energy projects with Russia and may be motivated by Washington's desire to take over the European natural gas market from Russia in favor of American liquefied natural gas.

In a statement on Wednesday morning, EU Commission head Jean-Claude Juncker said that "the US bill could have unintended unilateral effects that impact the EU's energy security interests. This is why the Commission concluded today that if our concerns are not taken into account sufficiently we stand ready to act appropriately with a matter of days"

"America first can not mean that Europe's interests come last"

Finally, the German foreign ministry also chimed in when with its spokesman saying that the "US does not have the right to tell German companies how they should act with foreign business partners."

And so, as we explained a month ago when the various conflicting tensions first emerged, Trump is trapped: unable to veto the bill, as he would be seen as promoting a pro-Russian agenda in a rather "sensitive" time, signing the bill will promptly lead to a deterioration of relations with Europe, whose own relations with Russia appear to have been far more important than the continent let on...


Croesus Wed, 07/26/2017 - 07:24 Permalink

I'll save you the trouble of watching msm....PUTIN DID IT! You have now seen every news report today, yesterday, and for the next 6 months.

TheReplacement Putrid_Scum Wed, 07/26/2017 - 08:41 Permalink

Simple enough for Trump.Call for a public hearing on the mall in front of the capital.  Ask Congress to present the evidence and experts in front of cameras and cross examine it all in front of the world.  Walk away laughing.Or hop on twitter and whine about employees not doing their jobs and those meanieheads in the media not being fair.Be a boss or be a bitch.I know where my money is being bet. 

In reply to by Putrid_Scum

PrayingMantis TrajanOptimus Wed, 07/26/2017 - 09:51 Permalink

... while the US protects its energy corporations' "America-First" projects by "sanctions", "China is making Iran a hub in its global infrastructure project" ...
>>>… ...

... along the way, in the international trade scene, the US might be cutting its nose to spite its face ...


In reply to by TrajanOptimus

Dabooda strannick Wed, 07/26/2017 - 17:01 Permalink

Maybe Putin could bring this nonsense to a screeching halt by announcing that in the event of an attack on Russia by ANYBODY, Israel would be the first target for nuclear retaliation.  Or maybe by simply gifting some nuclear weaponry and missiles to the governments of Syria and Iran. 

In reply to by strannick

Krungle TrajanOptimus Wed, 07/26/2017 - 11:44 Permalink

And before the Jews it was the French, British and Germans trying to control Russia. Yes, we all know the Jews are butthurt that they decided to ally with the Poles and then got pogromed by the Cossacks and other Russian nationalists. To which I would be remiss if I didn't add the Poles to the list of people pissed they don't control Russia. And lets not pretend this Cold Warrior bullshit wasn't deeply ingrained in the pre-Ashekenazi Deep State.  

In reply to by TrajanOptimus

Lordflin Putrid_Scum Wed, 07/26/2017 - 08:56 Permalink

I take it that you don't have kids... my son, shortly before his death, asked me why he was still in school... what was the point, he wanted to know. My youngest daughter, who has her own son, and is preparing to start medical school in August, wrestles continuously with the same question... what is the point?

To see the anguish in these young folks is painful... and my only response, other than a metaphysical one, has been... wait and see, it is not the first time man has faced an existential crisis... but in truth, it is the first time. The first time for anything of this magnitude in any regard. The courage required on the part of today's youth is enormous. No wonder so many of them hide.

My kids are in the game... they are definitely players. Let's hope the game continues a little while longer.

In reply to by Putrid_Scum

Lordflin World Cash Day Wed, 07/26/2017 - 13:06 Permalink

I forget there are some folks here whose IQs are seriously vertically impaired. I will attempt to slow it down for you. I have two daughters, both living... one working on her PhD in ecology, the other starting medical school. One could infer that I had at least two daughters as I referred to the one I mentioned as the younger. Game was short for 'the game of life' a classic metaphor... this was intended to communicate that my children were not hiding from life despite their understanding of existential threats, albeit I could understand why some people's children did hide (from life). As to my son being dead, I get that part... but thanks for the heads up. If you thought that I was referencing him when I spoke of my children being in the game (remember the metaphor) you are mistaken.

I hope this helps...

In reply to by World Cash Day

Lordflin Putrid_Scum Wed, 07/26/2017 - 13:12 Permalink

Understood... but if there is to any hope short of outside... read supernatural... intervention then there must be a future generation. I have prepared my kids as best I can for the world they are entering.

I am 65 years old, my resets are more or less behind me. I do hope you have the chance to raise kids of your own someday... life can bestow no greater honor...

In reply to by Putrid_Scum

philipat Déjà view Wed, 07/26/2017 - 07:52 Permalink

So Europe should finally start to look after its own intersts and tell the US to fuck off. Even the existing sanctions on Russia have hurt nobody other that Europe. And for what? Other than a false narative form the Democrat Party in the US to obfuscate their defeat. Stuoid and dangerous IMHO.

In reply to by Déjà view

boattrash BlindMonkey Wed, 07/26/2017 - 08:14 Permalink

FUUUUCK!Let's talk about "meddling" w/other countries affairs/elections...Anybody remember Neil Kornze? I stumbled across this prick while looking into the murder of LaVoy Finicum...Here's a bit of his BioFrom this link...… in 2003, he worked in the office of Senator Harry Reid (D-Nevada), primarily on issues related to public lands, including mining, renewable energy development and wildlife. He was instrumental in the development and passage of the Omnibus Public Land Management Act of 2009. That bill designated 2 million acres of wilderness, more than 1,000 miles of wild and scenic rivers and three national park units. In January 2011, Kornze moved to the BLM, first as senior advisor to the director, and later that year he became the BLM’s acting deputy director for Policy and Programs. Kornze was named the bureau’s principal deputy director, and he has been acting as BLM director since that time. During his tenure with the bureau, Kornze worked on the Western Solar Plan. Its aim is to develop utility-scale solar energy development on BLM administered lands in Arizona, California, Colorado, Nevada, New Mexico and Utah. Kornze’s age, 34 when he was nominated for the post, would make him one of the youngest agency heads in history. Despite his family ties to the mining industry, and his close association with mining champion Reid, Kornze’s nomination to lead the BLM drew praise from many environmental groups, including the Sierra Club and the League of Conservation Voters. Kornze earlier served as an international election observer in Macedonia, Ukraine and Georgia. In 2009 he married Mara Gassmann, who is now an attorney with Levine, Sullivan Koch and Schulz specializing in media and entertainment law.

In reply to by BlindMonkey

Déjà view BlindMonkey Wed, 07/26/2017 - 08:31 Permalink

Polar flight routes esp. from N.A. to lucrative and vastly expanding Asian market will bring quite a few airlines to their knees if Russia denies airspace applied to airlines of sanctioning nations...

Don't believe it? Look for yourself...
Russia is a HUGE country...would add hours upon hours of extra flight time i.e. expenses...

Real eye opener/tear jerker...BIG game changer...Russia has been quite accommondating...

In reply to by BlindMonkey

JohninMK Déjà view Wed, 07/26/2017 - 10:51 Permalink

In considering Russia's counter actions we need to remember that Putin regards Russia's word as its bond. It is not the US, it is unlikely for short term angst reasons to put that reputation at risk. That means that any existing Agreement or contract is unlikely to be at risk especially where there are other international parties involved. So I think the airlines/ISS/rockets are safe for the time being.Russia will almost certainly want to use this as a means to dump grit into as many of the US's relationships with its 'partners' as possible. This means Europe and probably Ukraine will see some action.The most logical first action will be the dramatic reduction in US diplomats in Moscow, as clearly there is no need for them any more. This could go below the levelling of numbers (more US in Moscow than Russians in US atm) and may mean Russians voluntarily pull numbers out of the US before the US can react. Also the reciprocal seizing of US property in Russia. Both actions have been previously discussed.The US's real target seems to be Russia's energy exports and the funding/construction of NordStream2 and the upgraded TurkSteam. Those pipelines are being built so that Russia can stop pumping through Ukraine in 2019 when the current contract ends. That latter fact would allow Russia to state, 'for the avoidance of doubt' FAOD (good English law phrase that one) that the gas flow will stop then. That would put huge pressure on Europe to allow and ensure completion of those two pipes, or else it gets very cold for their electors in winter 2019/20.I don't know what currency Russia uses for gas/oil exports to the West but I assume it is US$. They could state that FAOD those contracts are going into Roubles/Euros/gold settlement as soon as allowed under their terms.They could roll out NOTSWIFT internationally blinding the US to payments made via it and not SWIFT.Just a couple of suggestions above but the really interesting aspect (not mentioned that I have seen on ZH yet) of this will be what the Russians do to Israel, given what could well be an AIPAC involvement in the vote.

In reply to by Déjà view

Déjà view JohninMK Wed, 07/26/2017 - 11:07 Permalink

Swift replacement in works or already completed...

Russia and China have been in cahoots for quite some time now. Not only have both countries developed a payment network to rival SWIFT, they are also looking to rid of the US Dollar. A new alliance between both nations will focus on a gold-backed trading standard. Bypassing the US Dollar is quite an ambitious goal, but it is not entirely impossible either.…

In reply to by JohninMK

Librarian Déjà view Wed, 07/26/2017 - 10:36 Permalink

Fuel costs would double.Not only the polar routes (note: no flights go exactly over the north pole since the 80s), but the flights are also using the earth's rotation to plot the most economical flight plans.There was an incident about 7-10 years ago when Canada and Russia got into a tiff and Russian planes weren't able to fly over Canada.  As I recall it, for about a week, flights were flying from the US straight west over the Russian far east.  It added about an hour to the flight times, going west.  I don't know how much more fuel the flights headed east had to use as a result of the 1 week embargo.Someone here does though I'm sure.

In reply to by Déjà view

Glyndwr will return Wed, 07/26/2017 - 07:25 Permalink

First America drove China and Russia together.Now it will drive some Eastern European countries the same way. Visegard countries likely to be a case in point.The world needs protecting FROM America, not BY America. 

Abapom SmedleyButlersGhost Wed, 07/26/2017 - 08:02 Permalink

Hahaha ! You are the best ! If it's against Russia, no proof required. - If it's against Clintons, no proof is enough.If it's against Russia, no proof required. - If it's against Clintons, no proof is enough.If it's against Russia, no proof required. - If it's against Clintons, no proof is enough.If it's against Russia, no proof required. - If it's against Clintons, no proof is enough.If it's against Russia, no proof required. - If it's against Clintons, no proof is enough.If it's against Russia, no proof required. - If it's against Clintons, no proof is enough. I cannot believe that bitch Clinton and her psychopath managed to mess up whole congress with 70 year old Gebelsian propaganda!if they are stupid enough to sucumb to this primitive method then let them go down to garabge of history.major reset of whole US is needed ASAP or none of us will functional eyeballs to read Zero Hedge in 4 months.Die Mcain, Bzezinski, Soros, Clintons and eveyone on your side...

In reply to by SmedleyButlersGhost