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| EU rejects Russia 'veto' on Ukraine agreement | EU rejects Russia 'veto' on Ukraine agreement |
| (35 minutes later) | |
| The EU will not accept a "veto" by Russia on the bloc's ties with former Soviet republics, European Commission President Jose Manuel Barroso has said. | The EU will not accept a "veto" by Russia on the bloc's ties with former Soviet republics, European Commission President Jose Manuel Barroso has said. |
| Speaking at an EU meeting in Lithuania, Mr Barroso said the era of "limited sovereignty was over in Europe". | Speaking at an EU meeting in Lithuania, Mr Barroso said the era of "limited sovereignty was over in Europe". |
| The summit failed to revive an association agreement with Ukraine that was due to be its centrepiece. | The summit failed to revive an association agreement with Ukraine that was due to be its centrepiece. |
| Ukraine's president said he could not afford to sacrifice trade with Russia - which opposes the deal - for EU ties. | Ukraine's president said he could not afford to sacrifice trade with Russia - which opposes the deal - for EU ties. |
| President Viktor Yanukovych froze plans to sign Ukraine's trade deal last week. In Vilnius, he defended his refusal to sign, saying the EU was not offering adequate financial aid. | President Viktor Yanukovych froze plans to sign Ukraine's trade deal last week. In Vilnius, he defended his refusal to sign, saying the EU was not offering adequate financial aid. |
| After the two-day summit, Mr Barroso said: "We will not give in to external pressure, not the least from Russia. | After the two-day summit, Mr Barroso said: "We will not give in to external pressure, not the least from Russia. |
| "What we cannot accept is a condition on a bilateral agreement to have a kind of a possible veto of a third country. This is contrary to all principles of international law." | "What we cannot accept is a condition on a bilateral agreement to have a kind of a possible veto of a third country. This is contrary to all principles of international law." |
| EU Council President Herman Van Rompuy said the parties had been "really close" to signing the association agreement, but added that "we need to overcome pressure from abroad". | EU Council President Herman Van Rompuy said the parties had been "really close" to signing the association agreement, but added that "we need to overcome pressure from abroad". |
| "We are embarked on a long journey, helping Ukraine to become, as others, what we call now, 'new member states'. But we have to set aside short-term political calculations." | "We are embarked on a long journey, helping Ukraine to become, as others, what we call now, 'new member states'. But we have to set aside short-term political calculations." |
| However progress was made with two other ex-Soviet states, Georgia and Moldova. | However progress was made with two other ex-Soviet states, Georgia and Moldova. |
| Association agreements with both were initialled - a stage prior to signing - on Friday. Diplomats have expressed hope those deals can be signed next year. | Association agreements with both were initialled - a stage prior to signing - on Friday. Diplomats have expressed hope those deals can be signed next year. |
| EU leaders said in a statement earlier that they "strongly" disapproved of Moscow's pressure on Ukraine not to sign - while Russian President Vladimir Putin accused the EU of "blackmail". | EU leaders said in a statement earlier that they "strongly" disapproved of Moscow's pressure on Ukraine not to sign - while Russian President Vladimir Putin accused the EU of "blackmail". |
| Analysts say Russia worked hard to undermine the EU agreement with Ukraine, which it sees as a strategically vital partner. | Analysts say Russia worked hard to undermine the EU agreement with Ukraine, which it sees as a strategically vital partner. |
| On the one hand, it offered Kiev loans and price discounts. On the other, it threatened painful trade sanctions and higher gas bills. | On the one hand, it offered Kiev loans and price discounts. On the other, it threatened painful trade sanctions and higher gas bills. |
| In comments reported on his website on Friday, President Yanukovych said Ukraine still intended to sign an association agreement, but that were "several crucial steps left to be made". | In comments reported on his website on Friday, President Yanukovych said Ukraine still intended to sign an association agreement, but that were "several crucial steps left to be made". |
| He stressed that these would include a "programme of joint measures aimed at the adaption of the Ukrainian economy to the new realities" and to minimise "negative consequences" for the most vulnerable groups. | He stressed that these would include a "programme of joint measures aimed at the adaption of the Ukrainian economy to the new realities" and to minimise "negative consequences" for the most vulnerable groups. |
| Mr Yanukovych has previously described an EU offer to lend Ukraine 610m euros (£510m; $828m) as inadequate, and said that his country would need at least 20bn euros a year to cover the cost of upgrading its economy to "European standards". | Mr Yanukovych has previously described an EU offer to lend Ukraine 610m euros (£510m; $828m) as inadequate, and said that his country would need at least 20bn euros a year to cover the cost of upgrading its economy to "European standards". |
| Many Ukrainians nevertheless protested against his decision. | Many Ukrainians nevertheless protested against his decision. |
| In the capital, Kiev, thousands of demonstrators draped in Ukrainian and EU flags and chanting "Ukraine is Europe" formed a human chain from Independence Square along the main street of Khreshchatyk. | |
| In the western city of Lviv, about 20,000 joined hands, the AFP news agency reported. | In the western city of Lviv, about 20,000 joined hands, the AFP news agency reported. |
| Prominent Ukrainian opposition politician Vitali Klitschko, who attended the Vilnius summit before flying back to speak to protesters, said he hoped the agreement would be signed after all. | Prominent Ukrainian opposition politician Vitali Klitschko, who attended the Vilnius summit before flying back to speak to protesters, said he hoped the agreement would be signed after all. |
| "We Ukrainians want the changes," the world boxing champion added. "We want to live with the European family, with European rules, with Europeans' life standards." | "We Ukrainians want the changes," the world boxing champion added. "We want to live with the European family, with European rules, with Europeans' life standards." |
| However, thousands of Yanukovych supporters also attended a rally in Kiev's European Square on Friday to show their support for his decision. |