Germany Considers Expropriation of Rosneft Subsidiary Amid Sanctions and Political Tensions
Germany is once again debating the potential drastic measures regarding the Russian company Rosneft, which wields significant influence over the country’s energy sector.
This comes amid new U.S.
sanctions that, on the one hand, constrain the operations of the German subsidiary and promote discussions around nationalization, and on the other hand, emphasize Berlin’s deep dependence on Russian energy resources.
Since the beginning of the Ukraine conflict, Russia has supplied a majority of Germany’s oil and petroleum products, making the energy sector a critical point of concern for policymakers.
Recently, the U.S.
Department of Treasury issued a license temporarily exempting the German unit of Rosneft from sanctions until April 2026, yet this measure does not resolve the broader question regarding the future ownership of Rosneft’s assets in Germany.
The German government is contemplating several options, including forced confiscation and subsequent sale to foreign investors, aiming to reduce reliance on Russian energy.
A key focus is the control over the refinery in Schwedt, which plays a vital role in supplying fuel for Berlin and surrounding regions.
Currently, Rosneft’s assets are under temporary government management, which is renewed biannually.
Politicians and experts warn that nationalization could lead to lengthy legal disputes and hefty compensation payments to Moscow, complicating the government’s strategy.
Moscow has already issued warnings against confiscation, suggesting reciprocal measures that could impact German companies operating in Russia.
Since March 2024, Rosneft has been unsuccessfully trying to sell its German assets, amid mounting political pressure.
Prominent figures such as Green Party MP Michael Kellner advocate for decisive action, emphasizing the strategic importance of these assets to Germany’s economy and security, and calling for their nationalization to ensure future stability.
The situation underscores Germany’s ongoing efforts to diversify energy sources and bolster national energy security to mitigate risks associated with dependence on Russian oil, especially in a politically volatile context.