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Petroleum Trade

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international-relations2 years ago

Rising Opposition to U.S. Imports of Russian Refined Oil

Ukrainian officials and human rights groups are urging the United States to close a loophole that allows Russian crude oil, refined in other countries like India, to be shipped to the US. While the US and the European Union have banned direct purchases of Russian crude oil, they continue to buy Russian oil that has been refined into other products. Countries like India, Turkey, China, Singapore, and the United Arab Emirates are purchasing Russian oil at reduced prices, refining it, and then sending it to other markets. This practice, known as "laundered" oil, is legal but facing growing opposition. Global Witness, an environmental and human rights organization, proposes banning imports from refineries that buy Russian crude oil to block these flows. The impact on US gas prices and the US-India relationship remains uncertain.