Metallurgy / Chemicals / Rubber & Plastics

On the 30th, the Russian Legal Information Network released a legal document on how to implement the order signed by Russian President Vladimir Putin to respond to the price ceiling measures imposed by the West on Russian oil and petroleum products.

According to the decree signed by the Russian Prime Minister Mishuskyin on the 28th, the Russian Ministry of Energy and the Russian Ministry of Finance reached an agreement that the Russian international trade export oil price monitoring procedure must be approved before March 1. In addition, individuals or legal entities exporting Russian oil and petroleum products in international trade have the obligation to monitor whether there is any use of price limit mechanism in the whole supply chain. If such acts are found, they must be reported to the Russian Customs and the Ministry of Energy within the specified time limit. The Russian customs will temporarily suspend the export of international trade until the parties concerned correct it if it is verified.

The Russian Ministry of Energy said on the 10th of this month that Russia refused to cooperate with international traders who implemented the western price limit measures in any form. The illegal intervention of western countries in the market mechanism has affected the safe and stable supply of energy in the world, and relevant countries should work together to correct it.

At the beginning of December last year, EU member states reached an agreement on setting a price ceiling of US $60 per barrel for the international trade export of marine oil to Russia. The Group of Seven and Australia announced the same price limit policy as the EU. Putin signed an order that month to prohibit the supply of Russian oil and petroleum products to foreign legal persons and individuals who directly or indirectly use the price ceiling mechanism in the contract. This Presidential Decree will come into force on February 1, 2023 and will be valid until July 1.