According to the Western media, the US Secretary of the Treasury Janet L. Yellen has said that the G7 Finance Ministers had agreed to put a cap on the price of Russian oil. While commenting on the recent decision of the G7 nations she told the media that the G7 had taken a critical step toward achieving the bloc’s dual goals of putting downward pressure on global energy prices while denying Putin revenue to fund his brutal war in Ukraine.
According to her, the G7 will significantly reduce Russia’s main source of funding for its illegal war, while maintaining supplies to global energy markets by keeping Russian oil flowing at lower prices. She noted that although there is an energy price ease in the United States, energy costs remain a concern for Americans and continue to be elevated globally
. This price cap is one of the most powerful tools to fight inflation and protect workers and businesses in the United States and globally from future price spikes caused by global disruptions. American officials claimed that G7 latest action will help deliver a major blow to Russian finances and will both hinder Russia’s ability to fight its unprovoked war in Ukraine and hasten the deterioration of the Russian economy in the coming months.
The US-Russia rivalry is entering a new arena as the powerful bloc of the seven largest economies of the world has decided to launch a new assault against the Russian economy by using the most lethal energy weapon. Currently, western strategists are using their collective capabilities and multiple forums including the G7, the European Union, as well as like-minded nations in the global oil cartel, OPEC, to kneel their staunch rival.
The United States and its allies are considering all possible options to target the Russian economy through isolation and downgrading of the prices of Russian major exports including oil and gas to restrict Moscow’s finances. Previously, western nations imposed diplomatic, trade, and economic sanctions against Putin’s regime, and Russian businesses, tech giants, and government enterprises to level maximum cost on belligerent regimes.
However, despite massive support from their partners and allies across the globe, the west could not achieve its desired objectives and Russia’s aggression against Ukraine is continuing without any pause. Therefore, the United States and allies discovered a new tool to punish the Putin regime by putting a cap on the prices of Russian oil products.
Kremlin reacted swiftly to western strategy and vowed to stop selling oil to countries that impose price caps on Russia’s energy resources. According to the Russian Spokesman, the companies that impose a price cap will not be among the recipients of Russian oil and accused west of destabilizing the global economy. The western allies had called for an urgent move towards the implementation of a price cap on Russian oil imports, whereas the bloc had already imposed a partial ban on Russian oil purchases and preparing to halt 90 per cent of Russia’s exports when it fully comes into force.
In fact, the world has been facing the destructive impact of US-Russia rivalry over the past several decades while their recent hostility over has deprived the world, of basic necessities including food, energy, and livelihood. Currently, the jingoists had brought a new recipe to inflame their ongoing poisonous war, how much despair and gloominess they will trade in the world.