MOSCOW: The Kremlin on Friday warned the European Union against plans to impose tariffs on its grain exports and use profits from frozen Russian assets to arm Ukraine.

Ukraine has heaped pressure on Europe to cut off all sources of revenue for Russia, as Kyiv grapples with routine air strikes and hold ups to vital aid from its biggest ally Washington.

EU leaders agreed this week to “take work forward” on a plan to use the billions of euros worth of seized Russian assets to arm Ukraine, while also eyeing a tariff on Russian grain imports.

“Consumers in Europe would definitely suffer,” Kremlin spokesman Dmitry Peskov said, when asked about the proposed EU duty on grain. “Another clear example of unfair competition,” he added.

Russia says EU frozen assets plan is theft, will lead to decades of lawsuits

When asked about Brussels’ plans for the seized Russian assets, Peskov said there would be “serious consequences for those who made them and those who implemented them.”

EU countries have been wrangling for months over what to do with the assets, most of which were frozen shortly after Moscow launched a military assault on its neighbour.