U.S. Resumes Import of Russian Oil Despite Sanctions
According to the U.S. Energy Information Administration (EIA), in October, the United States imported 36,800 barrels of Russian oil, followed by an import of 9,900 barrels in November. The respective costs were $2.7 million and $749,500. These imports were made possible through specific licenses issued by the Office of Foreign Assets Control (OFAC) of the U.S. Treasury Department, overseeing exemptions to sanctions.
Data from the EIA also reveals that the U.S. paid a premium for Russian oil. In October, a barrel was priced at $74, and in November, it rose to $76, significantly exceeding the “price ceiling” of $60 per barrel determined by the U.S. and its allies in 2022. This move was part of collective efforts by G7 countries, the European Union, Switzerland, and Australia to reduce Russia’s income from oil exports as a response to the annexation of Crimea and support for separatists in eastern Ukraine.
In March 2022, the U.S. imposed sanctions on the import of oil, gas, and other energy resources from Russia, along with targeted restrictions on Russian individuals, entities, and sectors. However, OFAC retains the authority to issue licenses on a case-by-case basis for transactions that would otherwise be prohibited by the sanctions
The reasons behind the U.S. decision to resume the import of Russian oil remain unclear, with speculations ranging from global energy crises to geopolitical tensions with China or efforts to address the conflict in Ukraine.
Online discussions, formerly on Twitter, varied in opinions. Some expressed surprise, skepticism, or criticism of the U.S. move, while others interpreted it as a practical step to secure energy needs and diversify sources. One user stated, “This is a crisis with Ukraine and dedication to Putin. America should stand firm on sanctions and support the democratic aspirations of the Ukrainian people.” Another commented, “It’s a smart move by America to weaken Russia’s grip on China. It gives Russia a way out from dependence and encourages support on issues like Iran, North Korea, and climate change.”
You may also like: Breaking: U.S. Military Thwarts Houthi Missile Attack in Red Sea – A Defiant Response to Aggression – skynetglobalnews.org.in
In October last year, the U.S. Purchased Russian oil for the initial time since April 2022. This information was based on statistics from the American Statistical Service. In March 2022, Washington imposed a ban on the import of oil and other energy products from Russia, as part of a new package of sanctions. American companies made their last purchase of Russian oil in April of the same year. However, in October, the U.S. resumed imports, purchasing 36.8 thousand barrels of Russian oil at $2.7 million. Additionally, Washington imported 9.9 thousand barrels at $749,500. Both cases involved the supply of oil for domestic needs, with payments exceeding the established price ceiling of $60 per barrel in October and November, respectively.
