Putin rubs his hands as US scuppers EU’s punitive scheme

Vladimir Putin has reason to celebrate, as the United States has reportedly opposed a European Union proposal to further cap the price of Russian oil—offering the Kremlin a much-needed economic lifeline amid years of Western sanctions.

According to a Bloomberg report, the EU had been pushing to lower the current oil price cap in an effort to slash Russian revenues from energy exports, which remain a vital source of income for Moscow. However, Washington is not expected to support the proposed reduction.

While the EU plans to vote on an 18th package of sanctions targeting Russia, resistance is expected from Hungary and Slovakia—two EU members with close ties to the Kremlin—raising further doubts about the bloc’s ability to act unanimously.

The G7 had previously set a price cap of $60 per barrel on Russian oil, but Moscow has managed to partially circumvent this restriction by using a so-called “shadow fleet” of tankers to continue global oil shipments.

The G7 now wants to lower the cap to $45 per barrel, but U.S. opposition threatens to derail that effort.

According to the Institute for the Study of War, the combination of Washington’s resistance and the broader geopolitical context will allow Russia to continue generating substantial revenue from its energy sector.

(QG - Source: Bloomberg / Newsweek - Picture : © Pixabay)