International Response to Russian Oil Price Cap: Sanctions Tightened and Tankers Blacklisted

The US Department of the Treasury's Office of Foreign Assets Control (OFAC) has tightened enforcement of the price cap on Russian oil by designating a Government of Russia-owned ship manager and several obscure oil traders involved in transporting Russian crude oil above the cap. In coordination with the Price Cap Coalition, OFAC has also updated the guidance on the implementation of the price cap policy. These actions align with commitments made by the Group of Seven (G7) to tighten compliance and enforcement of the price cap policy on Russian oil. The price cap policy aims to reduce Russian revenues and support stable energy markets while reducing the funding for Russia's war against Ukraine.