By Blerim Abedini, ISSD-NM– The former Joe Biden administration imposed sanctions on Russia. These sanctions are controversial to the Donald Trump administration. Upon his arrival at the White House, President Trump is working to renew international relations. He also aims to rebuild the economy in this direction. As for sanctions, President Trump will try to lift sanctions on Russia in some negotiating terms. An initiative like this might be holding a meeting in Riyadh with Putin.
Below, is a brief chronology. The Serbian-Russian refinery (NIS) faced sanctions. On January 10, the US Treasury imposed sanctions against Gazprom Neft and Surgutneftegaz. The measures also affected foreign entities, including Serbia’s NIS, even though the former president’s term was expiring. James O’Brien executed a critical decision. He is the Assistant Secretary of State for European and Eurasian Affairs. This happened amid the backdrop of sanctions. Outgoing officials called for reducing Russia’s share in the NIS to zero.
“Naftna Industrija Srbije” is one of the largest energy companies in Southeast Europe. It engages in the exploration, production, and processing of oil and gas. The company is also involved in the trade of oil products. NIS employs over 10 thousand people. It provides annual benefits to the Serbian budget of up to 9%. It also owns 400 gas stations.
At the same time, Vucic said that official Belgrade is ready to buy shares in NIS. The purchase is for about 700 million euros. They are prepared to act in the event of US sanctions. However, they will try to avoid such a path. The Serbian leader emphasizes that earlier the CEO of Gazprom Neft Alexander Dyukov sent him a letter on this issue. He did not disclose its content. This situation resembles a game. It is frivolous between the Serbian leadership and the outgoing American leadership.
The Serbian government working group held its first meeting. They met with representatives of the US Office of Foreign Assets Control (OFAC) in mid-January. They also had preliminary consultations with the Russian side separately. On February 4, NIS sent a request to OFAC. They asked for a 90-day postponement of the sanctions. The sanctions were expected to be imposed on February 25. Serbian President Aleksandar Vucic reported in early February that the US embassy says, “that this would not work.” However, he continued to wait for OFAC’s response as legitimate.
“We are currently considering two or three possible scenarios. We continue to monitor the market situation. We also monitor prices to maintain supply stability,” says Energy Minister Gjedovic-Handanovic. From the minister’s statement, it is clear that the Serbian-Russian leaderships expect Biden’s mandate to expire in that time.
Trump is very connected to the economy. His future initiatives are to invest in the Balkans, specifically in Serbia. Therefore, he would not damage Serbia. So, his intentions are known earlier about the refinery of NIS in Serbia.
2025-02-18