President Vladimir Putin has delivered Russia’s long-awaited response to a western worth cap, signing a decree that bans the provision of crude oil and oil merchandise to nations that impose the cap.
The ban will come into impact on 1 February and final for 5 months, based on the decree revealed on Tuesday on a authorities portal and the Kremlin web site.
In early December, the G7, the European Union and Australia agreed to a $60-per-barrel worth cap on Russian seaborne crude oil due to Moscow’s “particular navy operation” in Ukraine.
The Russian decree was introduced as a direct response to “actions which are unfriendly and contradictory to worldwide legislation by america and international states and worldwide organisations becoming a member of them”.
“Deliveries of Russian oil and oil merchandise to international entities and people are banned, on the situation that within the contracts for these provides, the usage of a most worth fixing mechanism is instantly or not directly envisaged,” the decree acknowledged, referring particularly to the US and different international states which have imposed the value cap.
Crude oil exports shall be banned from 1 February, however the date for the oil merchandise ban shall be decided by the Russian authorities and could possibly be later.
The value cap, unseen even within the chilly warfare between the west and the Soviet Union, is geared toward crippling Russian state coffers and Moscow’s navy efforts in Ukraine.
Russia has been promising to reply formally for weeks, and the eventual decree largely established what officers had already stated publicly.
https://www.theguardian.com/world/2022/dec/27/russia-bans-oil-exports-to-countries-that-imposed-price-cap
