The United States has given Hungary a one-year exemption from sanctions that target Russian oil and gas, following a meeting between Hungarian Prime Minister Viktor Orban and President Donald Trump. Orban argued that Hungary needs Russian energy to support its economy and people, especially since many European countries still buy from Russia. Trump expressed understanding of Hungary’s situation, noting the country’s lack of access to sea ports that facilitate energy imports from other regions.
In addition to the sanctions exemption, Hungary agreed to purchase U. S. liquefied natural gas worth about $600 million. Since the Ukraine conflict began, Hungary has continued to rely on Russian energy, leading to criticism from European Union and NATO allies. Reports indicated that in 2024, Hungary depended on Russia for 74% of its gas and 86% of its oil, raising concerns about potential economic losses if the EU cuts off Russian gas.
During the meeting, Trump and Orban also addressed Russia’s ongoing war in Ukraine, with Trump suggesting that Russia has no intention of stopping the conflict. When asked if Ukraine could win, Orban noted the possibility of a miracle occurring. Discussions also included boosting economic ties between the U. S. and Hungary, with Orban expressing optimism for a stronger relationship in the future. Orban took the opportunity to criticize President Joe Biden, which resonated well with Trump, who continues to highlight Biden’s administration unfavorably.
As he prepares for the 2026 election, Orban received support from Trump, who praised his immigration policies and leadership style. Additionally, Hungary has faced a fine from the EU for its handling of migrants, which Orban indicated Hungary would address independently.
A sign of improved U. S.-Hungary relations came recently when the U. S. reinstated Hungary’s status in its visa waiver program. Hungary has opposed the EU’s plans to phase out Russian gas imports by 2027, highlighting tensions with Brussels. S&P noted that Hungary’s energy-dependent economy, with refineries geared towards Russian oil, may struggle to adapt to a sudden loss of energy supplies despite potential gas sources from other nations.
With information from Reuters