Russia’s plans to build two pipelines, one to Germany and the other to Turkey, will go ahead despite President Trump signing sanctions against Russia on Wednesday. However, the sanctions have delayed the construction of the pipelines and have made the venture more expensive.
In order for Gazprom, the Russian oil giant, to raise enough money for the pipelines, they will be forced depend on Russian state banks, or reach out to Asian lenders. Russia provides most of Europe with oil and gas, which are also their two main sources of revenue.
The European Union is against U.S. sanctions on Russia because they believe it was a plot by the U.S. to make Europe depend on America’s exportation of liquefied natural gas to Europe. Europe’s decision to side with Putin further isolates the U.S. and Trump and pits most of Europe against the populist president.