The Kremlin said on Wednesday that the European Union had understood how “essential” to Russia the issue of goods transit to the country’s Kaliningrad exclave is.

In a conference call with journalists, Kremlin spokesman Dmitry Peskov claimed that events around the exclave were “good,” following an agreement with the EU to open transit to Kaliningrad.

Tensions between the EU and Russia had soared after suggestions that sanctions imposed on Russia over its deployment of troops to Ukraine could ban goods transfers between the Russian mainland and Kaliningrad, which are routed through EU member state Lithuania.