Consequences of Iran conflict are now being felt in Europe, says EU leader

European Commission President Ursula von der Leyen warned on Monday that the conflict in the Middle East is having far-reaching effects on Europe, marked by soaring energy prices and targeted attacks on NATO allies.

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As the US-Israeli war against Iran entered its second week, oil prices surged to nearly $120 a barrel, with Tehran launching fresh retaliatory strikes in the Gulf, further exacerbating the situation.

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Von der Leyen cautioned EU ambassadors that the regional conflict is already having unintended consequences, with the European Union feeling the spillover effects, as she prepared for a midday call with Middle Eastern leaders.

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The European Commission president emphasized that EU citizens are being affected by the conflict, citing the example of an Iranian-made drone hitting a British base on EU-member Cyprus, as well as trade disruptions and the displacement of people.

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Although Iran has not officially closed the Strait of Hormuz, a critical waterway through which a fifth of the world's crude supplies and a substantial amount of gas pass, shipping traffic has come to a near standstill.

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European gas prices experienced a significant jump of up to 30 percent on Monday, although they remain below the peaks reached following Russia's 2022 invasion of Ukraine.

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Von der Leyen made it clear that the Iranian regime does not deserve sympathy, stating that the people of Iran deserve freedom, dignity, and the right to decide their own future, despite the potential dangers and instability that may follow.

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The European Commission president highlighted the "longer-term impact" of the war, which raises fundamental questions about the future of the international rules-based system and the European Union's place in the world, as she addressed the annual gathering of EU diplomats in Brussels.

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Von der Leyen also emphasized that retreating from the global situation is not a viable option, saying "the idea that we can simply retrench and withdraw from this chaotic world is simply a fallacy."

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In addition to discussing the Middle East conflict, von der Leyen addressed the Ukraine conflict, assuring the gathering that the European Union will fulfill its commitment to a vital 90 billion euro ($104 billion) loan to Kyiv, which is currently being blocked by Hungary.

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Von der Leyen stressed that delivering on this commitment is crucial, as it affects not only the EU's credibility but also its security, saying "we will deliver on our commitments, because our credibility — and more importantly, our security — is at stake."