The price cap on Russian oil should be cut from $60 to $30 per barrel in order to pressure Moscow to declare a ceasefire, President Volodymyr Zelensky said in his evening address on June 10.
Zelensky's comments come after the European Commission unveiled its 18th package of sanctions against Russia, including a proposed reduction in the oil price cap from $60 to $45 per barrel.
The proposed EU sanctions are a step in "the right direction," Zelensky said, but stronger measures are needed.
"Russia’s ability to continue the war is equal to its ability to sell its oil and bypass financial barriers," the president said.
"That is why it is necessary ... to do everything possible to keep the price of Russian oil lower than they can withstand. Each of the partners knows what price cap is needed — $30, no higher. Such a price level will mean real pressure on Russia – they should be forced to seek peace."
The current price cap on Russian oil was introduced by the Group of Seven (G7) and EU in December 2022 as a mechanism to limit the Kremlin's ability to finance the full-scale war in Ukraine. The measure bans Western companies from shipping, insuring, or otherwise servicing Russian oil sold above $60 per barrel.
The EU planned to discuss further cuts to the price cap at a G7 summit in May, but the U.S. reportedly blocked the proposal, according to the Financial Times (FT).
EU Commission President Ursula von der Leyen said on June 10 that the amendments to the price cap proposed in the new sanctions package will be discussed at the G7 summit to be held on June 15-17.
Zelensky called the EU's proposed cap of $45-per-barrel a "compromise price."
"Enough compromises with Russia. Every such compromise is a postponement of peace. We are asking for a real reduction in the price of Russian oil, which would bring us closer to ending the war," he said.
Russia's attacks on Ukraine are escalating, Zelensky said, necessitating the urgent need for stronger international pressure and tightened economic restrictions.
"It is vital that there is no silence in response to the Russian escalation, and it is obvious that there is an escalation," he said.
"Russia has been steadily increasing the number of lethal weapons in strikes for months now."
The president's comments come after Russia launched one of the largest aerial attacks against Kyiv throughout the full-scale war. The night before, Ukrainian air defense forces shot down 479 Russian drones and missiles in a record-breaking strike.
Asami Terajima
(Updated: )
