In view of the Ukraine war, the EU and the USA are making themselves independent of oil from Russia. But Putin finds other buyers – for example China.
Moscow – Western sanctions on oil off Russia could have a smaller effect than assumed. The reason for this is growing imports from other parts of the world. In particular, the export of Russian crude oil to China has risen sharply in the recent past, as reported by the business news portal CNBC. The financing of Ukraine war would be for Wladimir Putin accordingly no problem.
As early as March, about two weeks after the start of the Russian invasion of the Ukrainethey had US imposed a ban on oil imports from Russia. US President Joe Biden spoke at the time of a “powerful blow against the war machine” by Putin. Now that is too EU pulled along – albeit with some difficulties. Several countries have asked for exceptions to the deadline imposed for phasing out Russian oil. Ultimately, a package came out that is said to affect more than two-thirds of oil imports. According to EU Council President Charles Michel, this is about “maximum pressure on Russia”.
Sanctions against Russia: China finances Ukraine war through oil purchases
Western sanctions are definitely on target. the Russian economy is already in crisiswith the government in Great Britain predicted in April that Russia was heading for its deepest recession since the collapse of the Soviet Union. Still, there are some ways for Putin to bypass the West, especially in the energy arena. While states like Germany are now looking around for alternative sources of oil, Putin is also turning to other partners. there is Russia is now increasingly tied to China.
Russia and China in the Ukraine war: It’s not just about money
The fact that China gets a lot of oil from Russia is nothing new. However, since the escalation of the Ukraine conflict increased by about threefold, as reported by CNBC. Something similar can be observed in India. Rising energy prices as a result of the war are also helping Russia. From a purely financial point of view, Putin can continue his war for a long time.
But according to sanctions expert Jeffrey Schott, it’s about more than money, telling Newsweek: “Financial and export controls are effectively blocking needed stimulus for Russian industry and its military, which over time will impair their military capabilities.” (vbu)
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