The European Commission has confirmed that not only the European Union but also other partners within the Group of Seven (G7) support lowering the current price cap on Russian oil, which is set at 60 US dollars (around £47) per barrel. This potential move aims to further weaken the financial ability of the Russian dictatorship to fund its ongoing war against Ukraine.
European Commission spokeswoman Paula Piño made the announcement on Monday, noting that discussions took place during the recent G7 finance ministers’ meeting. According to Piño, the support for reducing the cap came from several G7 nations, although she did not name specific countries.
“This means others are also looking into the possibility,” said Piño. “Of course, the new limit should be lower than the current one, which is now 60 US dollars per barrel. However, I do not know the exact figure being proposed at this time.”
When pressed on whether the United States supports the move, Piño declined to confirm. She also clarified that she did not have information on whether the proposed lower cap might be 50 US dollars (around £39) or any other specific figure. “Only when we have a formal proposal will we know what the new cap might be,” she said.
Earlier reports indicated that the European Commission may soon formally propose reducing the cap to 50 US dollars, and in further discussions linked to the eighteenth package of EU sanctions against Russia, a proposal of around 45 US dollars (roughly £35) has also been floated.
The oil price cap was introduced by the G7 to restrict the Kremlin’s oil profits by preventing shipping and insurance services from supporting Russian oil exports priced above the agreed cap. The aim is to reduce Moscow’s ability to finance its war machine while ensuring global oil supplies remain stable.
The price cap policy, however, has come under pressure from Ukraine and its allies, who argue that the current level allows the Russian dictatorship to continue profiting significantly from oil sales. A lower cap, supported by broad G7 cooperation, would mark another step in tightening economic pressure on Russia.
Despite recent meetings in Banff, Canada, G7 finance ministers failed to reach a unanimous agreement, but momentum appears to be growing among key members of the group for stronger measures to target Russian oil revenue.
Work is also continuing on the EU’s next round of sanctions against Russia, as Kyiv and its partners push for more decisive economic action to speed up the collapse of the Kremlin’s ability to sustain its military invasion.
