The G7 and its allies have halted regular reviews of the Russian oil price cap scheme, allowing Russian producers to sell oil above the limit due to a rally in global crude prices and the use of non-Western ships and insurance services.
Finland will implement a ban on passenger vehicles registered in Russia starting Saturday, exempting EU citizens, diplomats, and those traveling for humanitarian reasons, in an effort to reduce traffic on the border between Finland and Russia.
Sanctions imposed on Russia due to the invasion of Ukraine have resulted in fuel shortages, scarcity of readily available items, and impacts on the aviation industry, paper production, plywood manufacturing, cell-phone reception, tire and lubricant supply, and the production of military vehicles.
The French government plans to temporarily lift a ban on retailers selling road fuel below cost in efforts to combat inflation and alleviate pressure on households, while also requiring companies to indicate when they modify the size of a product on labels.
The recent global supply concerns caused by Russia's fuel export ban are driving up oil prices, counteracting the demand fears driven by macroeconomic headwinds and high interest rates.
Oil prices rose over 1% after Russia implemented an export ban on diesel and gas, which aims to replenish domestic supply and reduce prices, potentially impacting global oil supply and driving up energy prices, excluding demand shrinkage, while also predicting easing gas prices in the US except for some western states.
Russia's decision to ban diesel exports to most countries, including the European Union, could lead to higher diesel prices and a possible uptick in inflation in Europe, as Russia is the world's biggest exporter of diesel accounting for over 13% of global supply.
TotalEnergies is expected to provide a strategy update, while Russia's gasoline and diesel export ban, maintenance work in Norway's gas fields, hostilities between Azerbaijan and Armenia, and the European Petrochemical Association's annual meeting are also being monitored in the energy market.
Higher oil prices, boosted by supply cuts from Saudi Arabia and Russia, may benefit Russia's oil revenues by allowing them to sell crude over the $60-a-barrel price cap imposed by sanctions.
Russia has halted diesel exports due to winter concerns and speculation that it is using energy as a strategic tool, raising questions about the implications for domestic and international energy markets.
The Russian government seems to have found a way to bypass the $60 oil price cap implemented by Western governments to prevent President Putin from profiting off the conflict in Ukraine, raising questions about the effectiveness of the cap and the ability to enforce it in the future.
Japan's ban on used-car sales to Russia, driven by sanctions over Ukraine, has disrupted a trade worth nearly $2 billion annually and led to a decline in prices for second-hand cars in Japan, forcing brokers to seek other export markets.
Diesel prices are expected to decrease after Russia lifted a ban on oil exports, causing a drop in global supplies and a decrease in fuel costs.
The United States has imposed sanctions on two shipping companies for violating the oil price cap designed to diminish Russia's energy export revenue and prevent them from benefiting from soaring energy prices.
Russian crude oil producers are able to ship to refiners in China and India at the cheapest costs in almost a year due to the increasing number of vessels plying these routes, allowing them to earn more than the imposed $60 per barrel cap on Russia through sanctions.
