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Released December 04, 2025 | SUGAR LAND
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Written by Daniel Graeber for Industrial Info Resources (Sugar Land, Texas)
"This historic decision will end the EU's dependence on an unreliable supplier, which has repeatedly destabilized European energy markets, put at risk security of supply with energy blackmail and harmed the European economy," the European Commission, the executive body of the European Union (EU), said in a statement on Tuesday.
Prior to the 2022 outbreak of war in Ukraine, Russia was a main supplier of natural gas, accounting for about a quarter of the market share in the EU. But by July, the commission found that Norway was the top supplier of natural gas, accounting for 31% of total deliveries. The U.S. was close behind, with a 24% market share in the form of liquefied natural gas (LNG).
Apart from sanctions that limited what European economies could take in, bloc leaders have considered the fate of the Nord Stream gas artery through the Baltic Sea, which was the target of sabotage in late 2022. Nord Stream was a main network for Russia's gas deliveries.
"Today, we are stopping these imports permanently," European Commission President Ursula von der Leyen said. "By depleting (Russian President Vladimir) Putin's war chest, we stand in solidarity with Ukraine and set our sights on new energy partnerships and opportunities for the sector."
Gas consumption in the EU started the year off strong, with first-quarter consumption levels of 4.2 trillion cubic feet, marking an 8% year-on-year increase. With few resources of its own, relative to its major suppliers, the bloc is heavily dependent on imports.
"Therefore, by November 2027 the latest, the EU will have phased out, once and for all, Russian gas imports," the European Commission stated.
Production from top-supplier Norway slipped some 2% from government forecasts in October, the last full month for which the government supplied data. In the United States, production is holding strong, despite a recent bout of inclement weather in shale states such as Pennsylvania.
Unlike crude oil production, which is on pace to decline by next year, U.S. natural gas production should increase in 2026 and remain supportive of exports of LNG. Since his return to office in January, U.S. President Donald Trump has pursued an aggressive fossil fuels policy, dusting off a handful of LNG terminals slated for development in places ranging from Alaska to Louisiana.
Some of the U.S. projects face big challenges. The Alaska facility, for example, would need an 800-mile natural gas pipeline on top of the LNG infrastructure before it is completed. Meanwhile, a steady increase in U.S. LNG exports could be a strain on domestic markets, though several analyses point to a looming LNG supply gut in the 2030s.
Subscribers to Industrial Info's Global Market Intelligence (GMI) Project Database can learn more about Alaska LNG--including capacities, investment values and necessary equipment--in detailed project reports.
Elsewhere, the EU diversification scheme could mean the bloc switches from over-reliance on Russian supplies to over-reliance on U.S. supplies. The United States supplied European economies with a little over half of their LNG during the first quarter of the year.
Key Takeaways
About Industrial Info Resources
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 Trillion (USD).
Summary
By November 2027, the European Commission expects the bloc to have halted Russian natural gas imports entirely. Norway is now the region's top supplier.Russia is Unreliable
The European Commission said it was finally ready to abandon what it said was an unreliable supplier in deciding to do away with Russian-supplied natural gas."This historic decision will end the EU's dependence on an unreliable supplier, which has repeatedly destabilized European energy markets, put at risk security of supply with energy blackmail and harmed the European economy," the European Commission, the executive body of the European Union (EU), said in a statement on Tuesday.
Prior to the 2022 outbreak of war in Ukraine, Russia was a main supplier of natural gas, accounting for about a quarter of the market share in the EU. But by July, the commission found that Norway was the top supplier of natural gas, accounting for 31% of total deliveries. The U.S. was close behind, with a 24% market share in the form of liquefied natural gas (LNG).
Apart from sanctions that limited what European economies could take in, bloc leaders have considered the fate of the Nord Stream gas artery through the Baltic Sea, which was the target of sabotage in late 2022. Nord Stream was a main network for Russia's gas deliveries.
"Today, we are stopping these imports permanently," European Commission President Ursula von der Leyen said. "By depleting (Russian President Vladimir) Putin's war chest, we stand in solidarity with Ukraine and set our sights on new energy partnerships and opportunities for the sector."
Gas consumption in the EU started the year off strong, with first-quarter consumption levels of 4.2 trillion cubic feet, marking an 8% year-on-year increase. With few resources of its own, relative to its major suppliers, the bloc is heavily dependent on imports.
Gradual Divorce Proceedings
The moratorium is gradual in nature, with imports of Russian LNG ending by December 31, 2026 and piped gas by September 30, 2027. Member states can extend that to October 31, 2027, however, if storage levels are still depleted."Therefore, by November 2027 the latest, the EU will have phased out, once and for all, Russian gas imports," the European Commission stated.
Production from top-supplier Norway slipped some 2% from government forecasts in October, the last full month for which the government supplied data. In the United States, production is holding strong, despite a recent bout of inclement weather in shale states such as Pennsylvania.
Unlike crude oil production, which is on pace to decline by next year, U.S. natural gas production should increase in 2026 and remain supportive of exports of LNG. Since his return to office in January, U.S. President Donald Trump has pursued an aggressive fossil fuels policy, dusting off a handful of LNG terminals slated for development in places ranging from Alaska to Louisiana.
Some of the U.S. projects face big challenges. The Alaska facility, for example, would need an 800-mile natural gas pipeline on top of the LNG infrastructure before it is completed. Meanwhile, a steady increase in U.S. LNG exports could be a strain on domestic markets, though several analyses point to a looming LNG supply gut in the 2030s.
Subscribers to Industrial Info's Global Market Intelligence (GMI) Project Database can learn more about Alaska LNG--including capacities, investment values and necessary equipment--in detailed project reports.
Elsewhere, the EU diversification scheme could mean the bloc switches from over-reliance on Russian supplies to over-reliance on U.S. supplies. The United States supplied European economies with a little over half of their LNG during the first quarter of the year.
Key Takeaways
- The agreement seeks to ban Russian gas by 2027.
- Norway and the United States are the top suppliers to the EU.
- Russia is considered an unreliable supplier.
- 31%: Norway's share of EU gas deliveries
- 24%: market share for U.S.-sourced LNG
About Industrial Info Resources
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 Trillion (USD).
