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European Union embargo on Russian oil products

The European Union is taking drastic measures to counter the Russian occupation of Ukraine by imposing a ban on Russian refined oil products, accompanied by price caps. Penalties will be applied if the cap level is exceeded.

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The European Union has announced that it will impose a ban on Russian refined oil products, including diesel and fuel oil, from February 5. This measure follows an earlier EU embargo on Russian crude oil transported by sea. The coalition aims to punish Moscow for its invasion of Ukraine by depriving it of revenue from its energy exports.

 

How the embargo works

According to this ban, EU vessels are required not to carry oil products of Russian origin and companies that provide technical or financial assistance such as insurance are also interested in this embargo. However, world trade is maintained if services are supplied below the EU price ceiling.

 

Price cap still uncertain

Price ceilings for diesel and heating oil have not yet been determined, but the European Commission has suggested a maximum level that should be in place before the embargo is effectively implemented. Sanctions will be applied to operators and companies that do not respect this ceiling imposed by the European Commission.

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