EU’s USD750bn energy promise to US is ‘fantasy’
(MENAFN) The European Union's recent commitment to purchase $750 billion worth of American energy over the next three years is being criticized as highly unrealistic, according to a Politico report citing analysts and EU officials.
The ambitious pledge was part of a broader trade agreement finalized on Sunday, which narrowly averted a trade conflict between the EU and the United States. As part of the deal, most EU exports to the U.S. will be subject to a 15% base tariff. In return, the EU agreed not only to ramp up energy imports from the U.S. but also to invest $600 billion into the American economy over the same period.
However, energy experts and officials cast serious doubt on whether these commitments can be fulfilled. Laura Page, a senior analyst at commodities firm Kpler, described the headline figure as “completely unrealistic.” She explained that the EU spent just €76 billion on U.S. energy last year, and tripling that amount would require cutting off cheaper suppliers and redirecting nearly all American energy exports exclusively to Europe—something she considers unfeasible.
Despite European Commission President Ursula von der Leyen's claims that the move would enhance EU energy security and lessen dependence on Russia, current supply dynamics tell a different story. Even after pipeline supplies from Russia fell due to sanctions and sabotage of the Nord Stream pipeline, Russian liquefied natural gas (LNG) still accounted for 17.5% of the EU’s energy imports in 2024, second only to the U.S. at 45.3%. In total, the EU imported €23 billion in oil, gas, and nuclear fuel from Russia that year—a gap that U.S. energy alone can't fill.
Further complicating matters are technical and logistical hurdles. EU refineries are only capable of processing a limited amount—about 14%—of American crude. Kpler’s Homayoun Falakshahi summarized the situation bluntly: “It really is a fantasy.”
Additionally, a senior EU Commission official admitted the agreement hinges on LNG infrastructure and U.S. shipping capacity, both of which are currently insufficient. Another official emphasized that the Commission itself doesn’t make purchases—it relies on private companies to handle imports, making the $750 billion goal even more uncertain.
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