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Russia to Ban Gasoline Exports From April 1

Russia bans gasoline exports amid soaring oil prices and halved export capacity

  • Russia will ban gasoline exports starting April 1, with the measure lasting until July 31.
  • The ban comes amid surging global oil prices and follows repeated curbs by Russia to control domestic fuel prices and shortages.
  • At least 40% of Russia’s oil export capacity is currently halted due to Ukrainian drone strikes.
  • The United States issued a 30-day waiver allowing countries to procure Russian oil as the Iran-Israel conflict inflates gas prices.
  • Brent crude oil prices reached $105.85 per barrel on March 26.

Amid a backdrop of escalating geopolitical conflict and soaring energy costs, BRICS member Russia will implement a comprehensive ban on gasoline exports from April 1. This decision, confirmed by Russian reporters, follows instructions from Deputy Prime Minister Alexander Novak and consultations with major oil companies.

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Russia has repeatedly imposed similar curbs to rein in rising domestic fuel prices and tackle shortages. However, the current global situation is particularly acute, with oil prices surging worldwide due to the ongoing war involving the United States, Israel, and Iran.

Consequently, the market is grappling with a significant supply shock. A critical factor is that at least 40% of Russia’s oil export capacity is currently at a halt following recent Ukrainian drone attacks.

Meanwhile, the United States has provided a temporary 30-day waiver for countries to start procuring Russian oil. This ease of sanctions came as the global market faced increasing pressure from the conflict.

As of March 26, the Brent benchmark price for oil had reached $105.85 per barrel. This price represents an increase of roughly $32 compared to its value from one year earlier.

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