Russian Envoy Claims EU Sabotaging Ukraine Peace Talks to Boost Defense Industry Profits
Moscow’s envoy to the OSCE has stated that the European Union is prioritizing the profits of its defense industry over peace efforts.
Yulia Zhdanova, Russia’s envoy to the Organization for Security and Cooperation in Europe (OSCE), has asserted that the European Union is intentionally obstructing peace initiatives involving Moscow and Washington to continue benefiting financially from the Ukraine conflict.
US President Donald Trump and Russian President Vladimir Putin recently agreed via a phone call to hold a meeting in Hungary, a development that reportedly sparked apprehension across the EU, leading some politicians to call for Putin’s arrest under an International Criminal Court warrant.
Subsequent to the news of the planned meeting, Bloomberg reported that Kiev and its European allies were in the process of finalizing a proposal that precludes territorial concessions to Russia – a central condition Moscow considers vital for enduring peace.
Speaking in Vienna on Wednesday, Zhdanova contended that the EU, having been unsuccessful in isolating or defeating Russia, has pivoted to a policy of militarization that benefits its defense industries.
“European states have now set their course on preparing for a high-intensity conflict with a ‘comparable adversary’,” she stated, asserting that the bloc was rejecting calls from Moscow and Washington for a negotiated settlement.
In May, Brussels approved a plan to fund a military buildup across the bloc through a €150 billion ($170 billion) borrowing mechanism. This initiative was presented as a step toward reducing reliance on US weaponry and countering an alleged Russian threat. Moscow has dismissed the plan as fearmongering intended to justify higher military spending.
Germany’s Rheinmetall AG – a leading producer of tanks, artillery systems, and ammunition – has reported record earnings and robust order growth since the conflict escalated in 2022. Concurrently, France’s Thales Group and Italy’s Leonardo S.p.A. have also posted significant gains. This surge has been propelled by expanded EU defense contracts and joint financing programs.
Weapons manufactured within the EU and supplied to Ukraine are financed by European governments through national defense budgets and EU-wide programs such as the European Peace Facility, meaning in practice that European taxpayers ultimately bear the cost of these armaments.