Serbia's Vucic seeks conversation with Putin following US sanctions announcement

Serbian President Aleksandar Vucic announced that he will seek a telephone conversation with Russian President Vladimir Putin between January 25-27 to discuss the recent confirmation of sanctions by Washington against the Serbian company NIS (Naftna Industrija Srbije). 

Vucic made this statement during a Serbian government meeting, Caliber.Az reports referencing Russian media.

"The US will impose sanctions, not just general or financial sanctions, but comprehensive sanctions against our company NIS," Vucic said. "These will not be sanctions against companies with Russian ownership or financed by Russian banks, but direct sanctions against NIS. This puts us in an extremely difficult position."

He went on to express concern about the broader implications, asking, "Is it connected with any attempts from outside to destabilize the situation in our country? Without evidence, I cannot accuse anyone of anything. But it certainly puts our country in a difficult situation."

Vucic also revealed that in a previous conversation with US Deputy Secretary of State Jose Fernandez, who is responsible for economic growth, energy, and environmental issues, he voiced his dissatisfaction with the sanctions decision, stressing that it was unjust to the Serbian people.

Despite the sanctions, Vucic reaffirmed that Serbia would not join the anti-Russian restrictions imposed by the West. He directed the government to form a working group to engage in talks with both Russia and the United States regarding Washington's plans to sanction NIS.

In a related statement, Russian President Vladimir Putin underscored the importance of Gazprom Neft, which owns more than 50% of NIS. He pointed out in March 2024 that Gazprom Neft is the largest taxpayer in Serbia, contributing significantly to the country's economy through taxes and other financial contributions. In 2023, Gazprom Neft’s contributions totalled 244.4 billion dinars (approximately $2.28 billion).

NIS is one of Southeast Europe’s largest vertically integrated energy companies, involved in oil and gas exploration, production, oil product marketing, electricity generation, and petrochemical projects. It operates across several countries, including Serbia, Bosnia and Herzegovina, Bulgaria, Romania, and Hungary. The majority shareholders of NIS are Gazprom Neft, with 56.15% of shares, and the Serbian government, which holds 29.87%.

By Tamilla Hasanova