Russia briefing, May 21

-Debate heats up over Nord Stream II  

As the construction of the Nord Stream II natural gas pipeline project begins in Germany, the “clash” between the U.S. and Russia accelerates.

The Wall Street Journal reported last week that U.S. President Donald Trump was pressing Germany for the cancellation of the Russian natural gas pipeline project, in return for starting negotiations for more favorable trade terms between the U.S. and Europe.

These allegations were also on the agenda of German Chancellor Angela Merkel's meeting with Russian President Vladimir Putin in Sochi on Friday.

Putin stated that Russia sees the Nord Stream II project as purely economical, adding that, 'The implementation of the project does not mean that the shipment of natural gas to Europe via Ukraine will be terminated. If the conditions are economically feasible, the shipment will continue here as well.”

 Noting that Trump is a “good businessman”, Putin said the U.S. was trying to promote its own natural gas supplies to European markets. 

“We understand this. But Russia will fight for the implementation of the project,” the Russian leader said.

Merkel also emphasized that they see the Nord Stream II as a commercial project. 

'However, there are also different elements of the project. It is of strategic importance for us to continue the transit role of Ukraine, especially after the project is built. We are ready to support this issue,' she said. 

On the other hand, Ukrainian Prime Minister Vladimir Groysman criticized the project in Kiev declaring it a geopolitical project during a meeting with German Economy Minister Peter Altmaier.

'The project was designed to create political pressure on European countries, and this project, which is profitable for Russia, will increase Europe's dependence on Russian gas in the long run,' said.

With the recent developments, it is likely that the U.S. will further increase political and commercial pressures against the project during its construction.