- U.S. sanctioned six Russian oil tankers under construction at its shipyard.
- Sanctions have caused oil price hikes and increased shipping costs, affecting Russia’s ability to export oil.
- The measures target Russia’s shadow fleet and could complicate completing sanctioned tankers, further reducing its shipping capacity.
In a historic move, the United States imposed sanctions on six unfinished Russian oil tankers from its shipyard. These sanctions aim to disrupt Russia’s oil export capabilities, marking a significant escalation in economic measures against Moscow, reports Reuters.
Unprecedented Sanctions on Unfinished Tankers
The U.S. sanctions targeted six oil tankers under construction at Russia’s shipyard. Among these vessels are four named ships and three yet to be named.
This move, part of a broader sanction package, is the first known instance of targeting tankers before they are operational.
Impact on Oil Prices and Shipping Costs
The sanctions have already caused a global spike in oil prices and freight rates.
The move is part of a strategy to hinder Russia’s oil exports and its ability to develop its shipping fleet, creating a ripple effect across global markets.
Targeting the Shadow Fleet
The measures aim to clamp down on Russia’s “shadow fleet,” which helps evade the G7-imposed price cap on Russian oil.
The cap restricts insurance and shipping services for oil sold above $60 per barrel, making it harder for Russia to trade freely.
Challenges for the Shipyard
Russia’s only shipyard capable of producing large-capacity tankers faces significant hurdles.
The sanctions could deter the completion of tankers under construction, given the financial and operational constraints they impose.
Reduced Tanker Availability
Over 60% of tankers listed in the sanctions have entered Russian ports in the last two months, creating a tanker shortage for Russia.
This shortage will further hinder its oil exports and exacerbate shipping challenges.
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Source: Reuters
