EU Leaders Agree on New Price Caps for Russian Petroleum

European Union officials announced on Friday that they will implement a price cap of $100 per barrel of diesel and $45 for every barrel of fuel oil. This announcement comes two months after the original $60 price cap on seaborne crude oil. The EU plans to implement the cap on February 5. The U.S. and some other G7 countries have already implemented the cap. The G7 plans to enforce the price cap by banning shipping companies from accessing insurance, brokerage, and financing services if they transport Russian petroleum that was sold for more than the cap allows for.

The Russian leadership has responded by the sale of petroleum products to countries that abide by the cap. EU representatives say they’ll review the cap every two months to review its effects on Russian petroleum revenues and “possible turbulences” in the global energy markets.