Russia invasion of Ukraine ignites European security crisis

Russia began a full-scale invasion of its neighbor Ukraine after President Vladimir Putin vowed to "demilitarize" the country of more than 40 million people, triggering one of the worst security crises in Europe since World War II.

Russian forces moved toward Ukraine's capital of Kyiv from Belarus after a barrage of missile, artillery and air attacks early on Thursday. Ukraine's border guard said it was being shelled from five regions, including from Crimea in the south, and that Russian tanks were entering the country. Ukraine said dozens of its soldiers were killed in the fighting, and there were reports of intense battles at the Hostomel airport on the outskirts of Kyiv. 

The invasion, despite several months of warnings from Western leaders and intelligence agencies that Putin was preparing for it, sent shockwaves across global markets. Oil surged above $105 a barrel for the first time since 2014 and natural gas prices in Europe jumped as much as 41%. Gold, aluminum, copper, nickel and food prices also spiked. Russia's ruble dropped to a record low and its stock market plunged as much as 45%, wiping out more than $250 billion in value at a stroke. 

In a nationally televised address ahead of the offensive, Putin said Russia had no plans to "occupy" its neighbor and that the action was justified after the US and its allies crossed Russia's "red line" by expanding the NATO alliance along Russia's borders. In recent months, Putin has amassed as many as 190,000 personnel, including battle units, near Ukraine, while the Kremlin continuously denied plans to invade. 

In a speech laden with unsupported claims, the Russian leader made clear that Moscow is targeting what he called "the Kyiv regime." He called on Ukrainian troops to lay down their arms and go home, but vowed to bring to justice those who carried out "multiple bloody crimes against civilians" -- a reference to the current government. He described the government as a "junta, the people's adversary which is plundering Ukraine."

Russia's aim is to ensure that a new administration in Ukraine is friendly to Moscow and free of US influence, according to a senior legislator from the ruling party. 

Ukrainian President Volodymyr Zelenskiy said in a televised briefing from Kyiv that Ukraine would not surrender its independence and had cut diplomatic ties with Russia. His spokesman, Oleksiy Arestovych, said the government would offer weapons to anyone prepared to defend Ukrainian territory.

US President Joe Biden and his Group of Seven counterparts will hold a call Thursday to discuss the situation. European Union heads are due to hold an in-person summit the same day, with EU Commission President Ursula von der Leyen saying that "massive and targeted sanctions" are being readied.

NATO said it was deploying additional land and air forces to member countries near Ukraine, along with more naval assets, to bolster defense and deterrence. China meanwhile declined to condemn Russia's actions, instead urging restraint by "all parties" and repeating criticism that the US was to blame for "hyping" the prospect of war in eastern Europe.

Security camera footage showed a line of Russian military vehicles crossing into Ukraine from Crimea, according to Ukraine's border guard service. It said columns of Russian tanks had entered the Luhansk region, while attackers were trying to seize Ukraine's Zmiinyi island on the Black Sea, roughly 100 km (60 miles) from Odessa, and were calling on Ukrainian troops to surrender.

Russia's defense ministry said the strikes were targeting Ukrainian military infrastructure and didn't pose a threat to the population, state-run TASS reported. 

German Chancellor Olaf Scholz, who held several calls with Putin and visited Moscow in an attempt to ease the tensions over Ukraine, denounced the attacks as "a blatant violation of international law." 

"This is a terrible day for Ukraine and a dark day for Europe," he said.

Biden said he will address the American people to announce further punishments that would be placed on Moscow. The US and its European allies imposed an initial round of sanctions this week after Putin recognized two breakaway regions of eastern Ukraine, providing him with the pretext for military action.

"President Putin has chosen a premeditated war that will bring a catastrophic loss of life and human suffering," Biden said in a statement. "Russia alone is responsible for the death and destruction this attack will bring, and the United States and its Allies and partners will respond in a united and decisive way."

Disclaimer: This article first appeared on Bloomberg, and is published by special syndication arrangement.