The EU must restore a "practical relationship" with Russia and not let the U.S. "dictate" that policy, the European Commission chief has said, according to BBC News.

Jean-Claude Juncker criticized U.S. President Barack Obama's description of Russia as merely "a regional power".

EU-U.S. sanctions were imposed on Russia because of its intervention in Ukraine. Obama had a frosty meeting recently with Russian President Vladimir Putin.

"Russia must be treated decently," Juncker said in Germany.

"We must make efforts towards a practical relationship with Russia. It is not sexy but that must be the case, we can't go on like this," he said, during a visit to Passau in southern Germany.

Last year the West imposed visa bans and asset freezes on dozens of senior Russian officials.

The sanctions also restricted Russian access to Western bank credits and industrial technology in the defense and energy sectors. In retaliation, Russia banned most imports of Western food and drink.