President Joe Biden has decided to ban Russian oil imports, toughening the toll on Russia’s economy in retaliation for its invasion of Ukraine, AP are reporting citing a person familiar with the matter.

Biden was set to announce the move as soon as Tuesday, the person said, speaking on condition of anonymity to discuss the matter before his remarks.

The White House said Biden would announce “actions to continue to hold Russia accountable for its unprovoked and unjustified war on Ukraine.”

The US will be acting alone, but in close consultation with European allies, who are more dependent on Russian energy supplies.

European nations have said they plan to reduce their reliance on Russia for their energy needs, but filling the void without crippling their economies will likely take some time.

Natural gas from Russia accounts for one-third of Europe’s consumption of the fossil fuel. The US does not import Russian natural gas.

Oil
Benchmark Brent crude futures for May climbed $3.56, or 2.9 percent, to $126.77 a barrel at 11:03 GMT.

US West Texas Intermediate, or WTI, crude futures for April delivery rose $3.12, or 2.6 percent, to $122.52 a barrel.

The rise in oil prices has prompted the US to open a dialogue with the Venezuelan president on energy matters.

The White House said on Monday that a US delegation held weekend talks in Venezuela with the government of President Nicolas Maduro that included a discussion of energy supplies — as Washington looks for ways to reduce its imports of Russian oil.

The surprise move comes at a time when analysts at Bank of America said that if most of Russia’s oil exports were cut off, there could be a shortfall of at least 5 million barrels per day, pushing prices as high as $200.

JP Morgan analysts said oil could soar to $185 this year, while analysts at Mitsubishi UFJ said oil may rise to $180 and cause a global recession.
Source: Arab News