US To Propose Tariffs On Russian Oil As Alternative To EU Embargo - Reports

US to Propose Tariffs on Russian Oil as Alternative to EU Embargo - Reports

The United States intends to propose that European countries impose tariffs on Russian oil as an alternative to an embargo, Reuters reported on Tuesday, citing US Treasury officials

WASHINGTON (Pakistan Point News / Sputnik - 17th May, 2022) The United States intends to propose that European countries impose tariffs on Russian oil as an alternative to an embargo, Reuters reported on Tuesday, citing US Treasury officials.

According to the officials, the mechanism will keep Russian oil on the market and help avoid further growth in prices, while limiting export revenues that flow to Russia.

The US intends to propose the plan at a meeting of G7 finance ministers this week.

Earlier in May, European Commission President Ursula von der Leyen presented the sixth package of sanctions against Russia. Among other things, it proposes banning oil imports from Russia. The package needs to be unanimously approved by all member states to go into effect.

Member states have still not reached an agreement on the sixth package of sanctions due to objections from Hungary and Slovakia. Hungarian Prime Minister Viktor Orban has described an embargo on Russian oil as "tantamount to atomic bomb" for Budapest, noting that his country needs five years to diversify its energy supplies.