Not many countries will buy Russian energy – but others are multiplying

• Several countries cut their energy ties with Russia, while others cut off cheap supplies.
• The United States, the United Kingdom and some European Union countries have all taken action.
• However, India and China continue to maintain oil and gas trade with Russia.

A divided approach to Russia’s energy trade has become more apparent in recent weeks.

While some countries have discussed or announced a ban on Russian oil and gas imports, others have doubled down.

When Russia launched an unprecedented attack on Ukraine earlier this year, Western countries joined forces to impose sanctions on the country in an effort to punish Russia for its actions.

Punitive measures range from blocking some Russian banks from accessing SWIFT global banking system To the European Union and other European countries Ban Russian flights from its airspace.

As the war continues, countries are now imposing sanctions on Russia’s energy sector, which has The largest natural gas reserves in the world and he The third largest oil producerrepresenting about 12% of global oil production.

Here’s how some countries are grappling with Russian energy issues.

Italy eases its dependence on Russian gas by turning to countries such as Egypt and Algeria for its energy supplies.

Italian oil and gas giant Eni recently signed a framework agreement with the state-owned Egyptian Natural Gas Holding Company, which it said will help boost gas production and LNG exports.

for every ReutersItaly exports about 40% of its gas imports from Russia. also agreed to Increasing its gas imports from Algeria By about 40% amid the war.

This month, the Baltic states comprising Lithuania, Latvia and Estonia cut off imports of Russian gas.

“Since April 1, Russian natural gas is no longer flowing to Latvia, Estonia and Lithuania,” said Oldis Parris, CEO of Conexus Baltic Grid, a natural gas storage operator in Latvia, on the island.

Lithuania became the first European country to give up Russian energy supplies in the wake of the Ukraine War. “If we can do it, the rest of Europe can do it too!” The country’s president, Gitanas Nosida He said on Twitter.

Outside of Europe, the The United States has also banned imports of Russian oil and gas. President Joe Biden announced the “hard blow” against Russian President Vladimir Putin last month.

“This is a step we are taking to inflict more pain on Putin, but there will also be costs here in the United States,” Biden said. I will do everything in my power to reduce Putin’s price hikes here at home.

American consumers are feeling the effects of rising gas prices from pandemic-era inflation, along with new sanctions on Russian energy supplies. in March , The average price of a gallon of gas in the US has jumped above $4 for the first time since 2008.

The UK government recently announced measures against Russian energy supplies, pledging to end all imports of Russian coal and oil by the end of 2022.

“By the end of 2022, the UK will end all of its dependence on Russian coal and oil, and will end gas imports as soon as possible thereafter,” The government said.

It added that the UK would also ban the export of key oil refining equipment and catalysts, “which weakens Russia’s ability to produce and export oil.”

Other sanctions include measures against Alexander Dyukov, CEO of Gazprom Neft, Russia’s third largest and the majority state-owned oil company.

The country is facing mounting pressure to move away from Russian energy, despite its heavy reliance on it, particularly natural gas that passes through the Nord Stream pipeline network.

However, severing Russian ties may be a long process.

Cutting off Russian gas from the German economy will greatly affect the manufacturing industry and may lead to rationing schemes, Ben Wink reported from Insider.

per BloombergGerman Chancellor Olaf Scholz said: “We are actively working for independence from the necessity of importing gas from Russia. This, as you might imagine, is not so easy because it needs an infrastructure that must be built first.”

Amid a wave of countries cutting off Russian energy supplies, India and China have taken a different approach.

With Russia’s oil exports hit by sweeping sanctions, prices have fallen to the point that some buyers from India and China have been tempted to snap up cheap Russian energy. Huileng Tan reported from Insider.

Reuters It reported that since the Russian invasion of Ukraine, India has bought at least 13 million barrels of Russian oil. However, it does not stop at cheap oil. Russian coal is still on India’s radar.

India is “moving in the direction of importing coke from Russia,” Ramchandra Prasad Singh, an Indian politician and member of parliament, told a conference in New Delhi. in Reuters. He added that India imported 4.5 million tons of Russian coal, but he did not indicate any time period.

As for China, the country is grabbing Russian oil and coal own currency. China’s smaller independent refineries are still discreetly buying Russian oil, Reuters I mentioned recently.