EU Agrees on 12th Sanctions Package Against Russia, Freezes Oil Price Cap
Quick Look
- EU countries reached a deal on their 12th sanctions package against Russia, resolving a dispute over Russian gas shipments to third countries with a limited exemption for existing contracts.
- The bloc also agreed to freeze its price cap on Russian crude oil for 12 months.
AI-generated summary
Why It Matters
EU countries agreed on their 12th sanctions package against Russia, following Russia's full-scale invasion of Ukraine.
BRUSSELS — EU countries reached a deal Thursday on a sweeping 21st sanctions package against Russia.
The final sticking point — a proposed ban on shipping Russian gas to third countries — was resolved through a limited exemption for contracts signed before Russia’s full-scale invasion of Ukraine, while prohibiting EU operators from entering into new ones, two EU diplomats said, speaking anonymously to discuss the agreement.
The bloc also agreed to freeze its price cap on Russian crude oil for 12 months, the diplomats added. The cap currently stands at $44.10 a barrel and was set to rise because of the war in Iran and an automatic recalculation happening every six months.
Open Questions
- How will the limited gas exemption be monitored?
- What will be the specific economic impact on Russia?
- How will third countries react to the gas shipment ban?
