G7 countries agree to revise Russian oil price ceiling in March

WASHINGTON, Jan 21 (Reuters) – G7 officials have agreed to revise the ceiling on Russian oil prices in March, later than originally thought, so that the market can gauge the impact of price caps on Russian oil products that are set to come into effect. force in February.

The G7 countries, the EU and Australia agreed on Dec. 5 to ban the use of Western-provided insurance, financing and brokerage services for shipping Russian oil above $60 per barrel.

Restrictions on Russian oil products should also come into effect from February 5: one price ceiling will apply to products that trade at a premium to oil, such as diesel fuel and gas oil, while the second will apply to goods with a discount, such as fuel oil.

“Representatives agreed that this approach would better calibrate the price ceiling policy for petroleum products, given the wide range of market prices at which these products are sold,” the US Treasury said after Deputy Treasury Secretary Wally Adeyemo met with coalition representatives on Friday.

The countries that initially supported the price ceiling planned to revise it in February, two months after it went into effect. (Kaniska Singh, Timothy Gardner)