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Tanks versus Banks: Russian Military versus EU Geoeconomic Power

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War is an instrument of policy. Those who lose sight of the policy objectives, or keep shifting them, rarely do well in war. The European Union and its Member States (and NATO) are not directly involved in Russia’s war against Ukraine, but they have unleashed a major geoeconomic offensive in response to Putin’s geopolitical gambit. They too, therefore, have to define precise objectives, and prepare for the new geoeconomic and geopolitical world that will inevitably result from this war. First, rerouted supply chains will create new challenges and dependencies for the EU. Second, instability in other states, as a consequence of the disruptions in the global economy, may indirectly also affect the EU. Finally, long-term relations with Russia obviously have to be reassessed, but relations with China and the alliance with the US are evolving too.


(Photo credit: Sven Biscop)