A few weeks ago, the gas reserves in the European Union were a focal point as authorities aimed to secure more than 80% of target levels set in their contingency plan. The aim was to protect the region from possible disruptions in supply from Russia. Deliveries to Germany via Nord Stream 1 were at zero, with current supply routed through Ukraine. Gazprom, the state controlled by the Kremlin, announced recently that it had shipped 42.4 million cubic meters. The conflict has stretched into its 210th day, and nobody can be sure when flows might halt. While cold winter temperatures threaten demand, electricity generation has seen a rise in gas use due to slower renewable output caused by drought. One regasification facility in Galicia, with two combined cycles, is joining the push to store and purchase energy from Russia as part of the broader energy strategy.
The Galician fossil fuels and lubricants bill reached 3.056 million. Data released yesterday by the Ministry of Commerce show a 135% year‑over‑year increase from January through July. Spending climbs due to greater import volumes and, above all, sharp price hikes. Among the main items, crude oil products, petroleum oils, and gas stood out with increases of 126%, 107%, and 722%, respectively. The temporary commissioning of the As Pontes thermal plant and the mix of electricity supply have brought coal back into the fuel mix, with 42.3 million euros spent, rising twentyfold from 2021 levels.
In response to supply pressures, Galician companies are diversifying import markets to secure reliable access and favorable pricing. By July, purchases were spread across nearly a hundred countries, up from about thirty the prior year. The balance with the United States reached 1,058 million euros, accounting for more than one third of total transactions. Mexico followed with 13.3% (406 million euros) and Libya with 9.5% (291 million). The fourth largest partner for Galicia was Russia, accounting for 190 million euros, double the amount seen in the first seven months of 2021 and the highest since 2012. Of this, 121 million euros were for gas purchases and 68.4 million euros for petroleum oils. The invasion of Ukraine and the initial sanctions imposed by Brussels had stalled Galician trade with Russia, but July’s balance shows fuel alone at around 152 million euros.
More items remained in the import basket. Galicia brought in about 12.4 million euros worth of fish and crustaceans from Russia this year, around 5.1 million in waste from the food industry, 32.6 million in subscriptions, and roughly 2.2 million in wood and related production. While import costs surged due to energy, the community still shows a robust trade surplus of roughly 1.7 billion euros as exports also rose strongly by 29.4%. Galician companies recorded a record high in overseas sales, totaling 16,919 million euros. The textile sector maintained a solid trajectory with a 52% rise in knitwear and a 67% increase in other items. Fisheries exports climbed 26%, while the automotive sector slipped by 7.8% amid chip shortages.
These trends illustrate how Galicia is balancing energy security with a diversified international trade portfolio amid a volatile energy market and ongoing geopolitical tensions. Analysts note that resilience in energy supply chains and strategic sourcing will continue to shape economic outcomes for the region in the near term, as governments and industry players seek stable prices and reliable access to essential fuels and materials. [Citation: Galician Ministry of Commerce, data through July, and regional energy briefings, 2024]