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US won’t sanction Russian oil exports

  • By Al Mayadeen Net
  • Source: Agencies
  • 25 Feb 2022 22:31
  • 2 Shares
2 Min Read

The US claims to avoid sanctions on Russian crude oil to avoid a surge in global oil costs. Meanwhile, the US imported more gasoline and other refined petroleum products from Russia than any other country in 2021.

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  • Russia is United States’ top source of imported gasoline.
    Russia is the United States’ top source of imported gasoline.

Special Envoy and Coordinator for International Energy Affairs Amos Hochstein told Bloomberg that the US will not impose sanctions on Russian crude exports to avoid a surge in global oil costs.

"The sanctions will not target the oil flows as we go forward," Hochstein said.

Furthermore, he added: "If we target the oil and gas sector for [President Vladimir] Putin, and in this case the Russian energy establishment, the prices would spike," which means that the US and its allies would "suffer the consequences."

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Earlier, International Monetary Fund (IMF) Managing Director Kristalina Georgieva said, on Friday, that sanctions imposed by the West on Russia may have an impact on the global economy due to increasing inflation caused by rising oil and grain prices.

Worries about global supply disruptions and US-European sanctions against Russia pushed global oil prices above $100 per barrel for the first time since 2014, while wheat, soybeans, and maize prices jumped to multi-year highs as well.

Inflation had already been sharply increasing in the US before last week's rise in oil and grain prices, with consumer prices rising at their fastest rate in 40 years in the 12 months to January.

It is worth mentioning that Russia owns 3% of its foreign currency in emerging market bonds, and a financial crisis there might spread to the rest of the market.

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  • Russia
  • Ukraine
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