Kremlin warns US sanctions could destabilize global oil markets

The Kremlin has warned that the latest US sanctions on Russia’s energy sector could destabilize global markets, with Moscow pledging to take measures to minimize the impact. The sanctions, aimed at cutting Russia’s war funding, target major oil producers and vessels involved in shipping Russian oil.

The Kremlin warned on Monday that the latest round of US sanctions targeting Russia's energy sector could destabilize global markets, with Moscow vowing to take steps to mitigate their impact. Kremlin spokesman Dmitry Peskov criticized the US for attempting to undermine Russian companies through non-competitive measures but expressed confidence in Russia's ability to counteract them.

Peskov added that such sanctions would inevitably disrupt international energy markets, including oil markets, and emphasized that Russia would carefully monitor the situation and adjust the operations of its companies to minimize the consequences of what he called "illegal decisions."

The US Treasury imposed new sanctions on Friday, targeting Russian oil producers Gazprom Neft and Surgutneftegaz, as well as 183 vessels involved in shipping Russian oil. The measures are intended to reduce Russia’s revenue, which funds its war with Ukraine. US officials suggest the sanctions could cost Russia billions of dollars monthly if fully enforced.

In response, Chinese and Indian refiners, which have been major buyers of Russian oil, are exploring alternative crude supplies. Many of the vessels affected by the new sanctions have been transporting oil to these countries. Peskov remarked that history has shown it is difficult to permanently block energy supply routes, and that Russia would seek alternative solutions to lessen the sanctions' impact.

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