On December 3, the Council of the European Union, after long negotiations, approved the decision to set the price limit for oil exported by Russia at the level of 60 US dollars per barrel, according to the official website of the European Council.

At the same time, the President of Ukraine, Volodymyr Zelensky, during his evening address today, said that the level of $60 per barrel is insufficient.

According to him, the price should be limited to 30 dollars per barrel.

The price cap on Russian oil will come into effect on December 5, 2022.

  • The price ceiling means that 32 states (27 EU countries, as well as Great Britain, the United States, Canada, Japan and Australia) will provide services related to Russian tanker oil only if it is purchased at a price of $60 per barrel or lower.

    Services include mandatory transportation insurance.

  • The countries set the price limit to reduce the income of Russia, which helps it to continue the war in Ukraine, and to prevent the cessation of supplies and the jump in world oil prices.

    The United States and the European Union refused to buy Russian tanker oil, so the measures are "especially important for low- and middle-income countries that have suffered greatly from the consequences of Russia's war in Ukraine."

  • Russia has repeatedly promised not to sell oil at a price lower than the market price to those countries that will introduce a ceiling.

    So far, oil of the Russian brand Urals on the world market costs a little more than 69 dollars per barrel.

    At the same time, traders note that Asian countries, in particular India and China, buy Russian oil at a big discount - up to 30%.