China and India are interested in keeping the cap on the price of Russian oil. This became clear after the negotiations of the G7 countries (Great Britain, Germany, Italy, Canada, USA, France and Japan) with China and India on a plan to set a ceiling on the cost of oil from Russia, which, according to Reuters, turned out to be productive and positive. This was announced today, June 29, TASS reports.
As Reuters reports, citing a source, the ceiling price per barrel of oil has not yet been set, but the new price should be high enough to keep Russia motivated to produce oil.
As is known, in the communiqué adopted following the G7 summit in Germany, the leaders of the G7 countries promised to consider the possibility of limiting prices for Russian oil by banning its transportation by sea if the price exceeds the ceiling “agreed by international partners.”
Similar plans were previously announced by the head of the European Commission Ursula von der Leyen and President of the European Council Charles Michelaccording to which, for this it is necessary to form a coalition that includes not only the EU and the USA.
The embargo imposed by the European Union and the United States on the purchase of Russian oil has led to a sharp increase in prices. This allowed Russia to redirect large volumes of raw materials to other markets. Primarily in India and China. Due to this, Russia, despite the sanctions, increased its income, while the EU and the US suffer net losses, including a spillover in the form of inflation.