Russian government decree banning the export of oil and oil products to Ukraine has come into force today, June 1. Export of such goods is carried out exclusively on the basis of permits issued by the Ministry of Economic Development of the Russian Federation. This is reported in the decision of the Russian government of April 18, No. 460-25.
"From June 1, 2019, the export of goods from the Russian Federation to the territory of Ukraine according to the list in accordance with Appendix No. 3 is carried out exclusively on the basis of permits issued by the Ministry of Economic Development of the Russian Federation ", - said in the decision.
According to the text of the resolution, the list of products prohibited for importation into the territory of Ukraine includes crude oil and crude oil products obtained from bituminous rocks, ethylene, propylene, butylene and butadiene, petroleum jelly; paraffin, microcrystalline oil wax, paraffin wax and other.
Petroleum coke, petroleum bitumen and other residues from the processing of oil or petroleum products derived from bituminous rocks, as well as bituminous mixtures based on natural asphalt, natural bitumen, petroleum bitumen, mineral resins or mineral tar pitch (for example, mastic, asphalt mixes for road surfaces) are also banned for import to Ukraine.
Earlier the new Secretary of the National Security and Defense Council Oleksandr Danyliuk did not rule out the possibility that Russia's ban on the supply of diesel fuel and oil to Ukraine could cause problems
According to Danyliuk, approximately 40% of Ukraine's diesel fuel is exported from Russia.
"That is an essential part, and, basically, the business already has to think how to diversify deliveries because of these restrictive measures, and this is actually happening,” Secretary of the National Security and Defense Council said.
The NSDC Secretary does not rule out the possibility that "merely a change of supplier" can happen, and there will be no real supply constraints.
“However, as a country, we should be ready for this. It means that the volumes are high, options of diversification exist; some can last for a while, some simply can lead to an increase in the value of the product. That is fuel, so all these issues need to be solved," Danyliuk added.