Moscow, undeterred by the attempts of the west to get cheap oil any which way it can, offers an oil shipping solution to all the continued transport of crude to its preferred clients. The US originally proposed to make it difficult for shipping companies by not approving insurance for transporting the energy resource.
No Oil for Western Nations Demanding Price Cap
The suggestion made by Energy Minister Nikolay Shulginov, Russia could offer insurance for all ships transporting its crude oil to foreign customers except those asking for an oil price cap, as quoted by TASS.
He told the outlet that opportunities are looked into with several local insurance companies from friendly countries while he was at the 7th annual Eastern Economic Forum in Vladivostok, reported RT.
A new insurance company could also be founded in Russia, but this would require reciprocal recognition from other countries, said Moscow.
A week earlier, the EU and Britain had agreed to enforce a synchronized ban on offering insurance for Russian ships as an oil shipping solution for transporting crude.
However, since London is home to the world's largest insurance provider, Lloyd's, the drastic measure was delayed. Although the UK has decided to ban financial protection for tankers that convey Russian oil to the nation, the prohibition won't take effect until 2023.
Predictably, the G7 countries, including the US, UK, Canada, Germany, France, Italy, and Japan, all agreed on a price cap for oil in response to the Biden administration's desire for cheap oil at Russia's expense.
Since the G7 wants to believe it can impose such a condition on the oil producer, the Kremlin is unwilling to sell oil at a loss.
G7 nations Press an Unwise Decision, China says
Beijing rejected the western oil price cap, and controlling the price of Russian oil, according to Foreign Ministry spokeswoman Mao Ning, is nothing but absurd, mentioned Fars News.
At a press conference, Ms. Ning stated the importance of oil in ensuring global energy security; it would be preferable if they quickly regained their better judgment. She exhorts the G7 countries to strengthen communication and advance negotiations.
The G7 finance ministers finally came to an agreement last Friday to establish a price cap on Russia's oil profits. They still went ahead with the highly controversial judgment to affect insurance and financing for ships hauling crude above a predetermined price target.
In a fruitless effort by the EU in response to Washington's prodding, China and India attempted to be persuaded to follow the dubious desire to join the G7 price cap in a vain effort by the EU. Brussels argues that the higher price of oil is unfair, but they initiated the sanctions that are the source of their current dilemma.
Russia's oil, which the West wants but which the Kremlin will not sell cheaply to the US or its allies, is being bought at a lower price by China and India.
Moscow and the oil shipping solution it has suggested for transporting crude to bypass the insurance measures to ensure their chosen clients get their supply and starve those hostile against it.
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