The European Union (EU) embargo on imports of Russian oil and petroleum products transported by sea and simultaneous restrictions in the form of “ceilings” on the prices of these products can only lead to negative consequences for the foreseeable future. Russia, but also for European countries. This is due to the potential risk of scarcity of energy resources in the medium term, opens The words of “Lenta.ru” by Igor Yushkov, a leading analyst of the National Energy Security Fund (FNEB).
The EU embargo on the supply of Russian oil transported by sea entered into force on 5 December 2022. At the same time, European countries set the price limit for such products at $ 60 per barrel. From February 5, 2023, the EU also banned the import of petroleum products from the Russian Federation. At the same time, price ceilings in this case were set at $ 100 and $ 45 per barrel. The first bar affected the supply of gasoline, diesel, kerosene, the second – the supply of fuel oil, tar, bitumen and other products.
“Sanctions on oil and oil products are harmful not only for Russia itself, but also for countries that impose appropriate restrictions. This is by no means a painless measure, if there is a famine then the states themselves will suffer. But this, of course, is not necessary, ”said Yushkov.
February 5 Freedom Finance Global analyst Vladimir Chernov estimated increase in discounts on Russian oil products following the introduction of ceiling prices. Discounts will be required to attract potential buyers in Asia and other parts of the world in the face of international sanctions restrictions.
Ben Stock is a business analyst and writer for “Social Bites”. He offers insightful articles on the latest business news and developments, providing readers with a comprehensive understanding of the business world.