European industry starts shutting down

Higher price: A technician working at a natural gas compress station in Sayda, eastern Germany. European gas futures are now about 10 times higher than a year ago. — AP

FRANKFURT: European industry is showing the first signs of shutting down as Russia’s invasion of Ukraine boosts energy costs for steelworks, fertiliser plants and paper mills to unsustainable levels.

The war in Ukraine, combined with sanctions and counter-threats from Russia, have upended commodities markets, pushing European gas prices to fresh records and triggering one of the biggest oil-supply shocks since World War II.