Head of the Office of the President of Ukraine Andriy Yermak announced that from today, a new price cap on Russian oil is in effect, now set at $47.5 per barrel instead of the previous $60. This was implemented as part of the EU’s 18th package of sanctions against Russia.
In addition, in every subsequent reporting period, the price of Russian oil must be 15% lower than in the previous period, with the period being either monthly or quarterly, depending on assessments.
It is notable that the United States did not join the new price cap. This means American insurance companies can still insure tankers transporting Russian oil at the old $60 limit.
Canada and the UK adopted the new measures, and insurers from Europe and Britain can no longer insure cargos selling above the new cap. Most of the "shadow" tanker fleet passes through the Baltic Sea; in case of accidents, responsibility lies with Russian insurers, who are themselves under sanctions.
Statistics show that 80% of Russia’s oil is bought by China and India, 7% by Turkey, 3-4% by Southeast Asian countries, and up to 10% via the "shadow fleet." Sales occur through official and semi-official channels, with significant discounts offered to primary partners who buy within the price cap to maintain insurance coverage.
Despite restrictions, a significant volume of oil is still sold at discounted rates, while the key markets remain outside the EU. Experts underline that the new cap is an important political move, but its effectiveness depends on future action from partners, particularly the United States.
