“I don’t understand why this isn’t obvious to everyone, for good or bad the sanctions the EU put on Russia why would they not respond”
The Europeans knew it. They established plans to get off Russian gas as quick as they can, and Russia adopted the approach of cutting them off before their announced schedule. They watched it happen to one Country after the next.
Poland said they would be independent of Russian gas when the new Norwegian pipeline is activated toward the end of the year, so Russia cut their gas in June. The pattern has been repeated with Latvia, Lithuania and Estonia; Finland and Bulgaria; The Netherlands and Denmark; and now Germany (the really big customer).
German planners did anticipate and prepare for this contingency. Their gas storage is already 85% full (over the minimum for Winter), and they still have enough coming in from elsewhere to keep building up stored gas, even after the Russian shut off.
This was likely the watershed moment of the energy war. Europe did not buckle, and the price of gas did not rise any further (actually dropped a bit).
Putin has played his energy card, throttling the pipeline flow all the way down. That was his big energy weapon - there is nothing comparable left for him to use.
It is still possible that European resolve may crack, but it seems that this was the culmination of Russia’s energy coercion, and that the economic pressure will increasingly disfavor Russia from here on out.
Italy is already buckling.
https://www.politico.eu/article/italys-salvini-says-west-should-rethink-sanctions-for-russia/
Multiple governments have already fallen, in Italy and the UK, both have new PMs.
Germany may have 85% storage of gas but it’s at prices that have nearly quadrupled, which will have enormous impact on the economy well into next year.
It’s not just gas and oil that comes from Russia, they are a huge exporter of wheat and fertilizer which will have long term effects on the prices paid at the grocery store.
Finally, Russia can sell all the gas it wants to other countries that have not sanctioned them, taking Russian gas/oil off the market will have a long-term detrimental effect on Western economies for the foreseeable future until other countries gear up to produce more fossil fuels which is not guaranteed at this point.