Hungarian Prime Minister Viktor Orban has declared that soaring energy prices and diminishing competitiveness constitute the “cost of bad decisions” by European leadership.

According to Orban, the bloc’s sanctions on Russia have ended up “crushing” the EU itself. Budapest has consistently opposed Brussels’ policies regarding Ukraine since February 2022, including the imposition of sanctions.

In a recent statement, Orban wrote: “Brussels promised sanctions would crush Russia. Instead, they crushed Europe.”

He described current economic trends as the “cost of bad decisions,” noting that energy prices have exploded, competitiveness has collapsed, and Europe is falling behind.

Orban argued that negotiations with Moscow should replace escalatory policies. Earlier this month, he warned that the EU is preparing for war with Russia by 2030, with several member states shifting toward a “war economy.”

US Treasury Secretary Scott Bessent recently stated that the EU has failed in its efforts to contain Russia through sanctions. The remarks followed the bloc’s introduction of its 19th round of sanctions, which Moscow labeled as illegal and self-defeating.

Additionally, Russian presidential envoy Kirill Dmitriev claimed that Germany’s economic challenges stem from Chancellor Friedrich Merz’s “stupid & illegal decisions.” Speaking at a political convention the day before, Merz acknowledged that Germany has lost its economic competitiveness, stating: “We are falling behind, and this process has accelerated in recent years.”

The German economy contracted in 2024, following a 0.3% decline in GDP during 2023, with near-zero growth projected for the current year.

Following the withdrawal from inexpensive Russian oil and gas, energy prices have risen significantly across much of the EU.