Series: Economic Bulletin.
Author: Irina Balteanu and Francesca Viani.
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Summary
Rationale
In recent decades, the European Union and Spain have become increasingly dependent on energy imports from third countries. Given how important these products are in production chains, this dependency could represent a source of vulnerability for the European economies.
Takeaways
- The energy products imported from third countries that are most vulnerable to international trade disruptions notably include natural gas, uranium, anthracite, oil and coal, all of which are in short supply within the European Union (EU), hard to substitute and, in general, concentrated in a few suppliers.
- The main EU countries differ in terms of the extent of their external dependency, the energy suppliers they use and the vulnerability of their exposures. Spain is more reliant on third countries, although its imports are more diversified across different suppliers.
- The patterns of the EU’s external energy dependency have been altered by Russia’s invasion of Ukraine, owing to the substantial reduction in European imports of energy products from Russia, which is no longer the region’s main energy supplier.