Most G7 Nations Ready to Lower Russian Oil Price Cap Without U.S. Backing
Most Group of Seven (G7) member countries are prepared to move forward independently with lowering the price cap on Russian oil, even if U.S. President Donald Trump refuses to back the decision, according to four sources familiar with internal discussions, The Gaze reports, citing Reuters.
G7 leaders are scheduled to meet June 15–17 in Canada, where the oil price cap—first imposed in late 2022—will be a major topic. The cap, currently set at $60 per barrel, allows Russian oil exports to third countries to continue using Western insurance and financial services, but only if sold under that threshold. It was designed to curb Russia’s ability to fund its war against Ukraine.
However, recent declines in global oil prices have rendered the $60 cap largely ineffective. The European Union and the United Kingdom have been pressing for a cut to $45 a barrel, and now appear ready to push the change through—even without full American support.
“There is a push among European countries to reduce the oil price cap to $45 from $60,” one source said. “There are positive signals from Canada, Britain, and possibly the Japanese. We will use the G7 to try to get the U.S. on board.”
So far, the U.S. position remains unclear. While some in Congress, including Senator Lindsey Graham, have expressed support for tighter energy sanctions against Moscow, the Trump administration has not committed to lowering the cap. Asked about the president’s stance, a White House official said Trump “looks forward to a robust discussion on key economic and geopolitical issues” during the summit.
At a G7 finance ministers meeting last month, U.S. Treasury Secretary Scott Bessent reportedly remained unconvinced that a lower cap is necessary. But European leaders argue that allowing Russian oil to be sold at $60—when the market price for its Urals crude is already about $10 lower—undermines the policy’s intent.
The EU’s latest sanctions proposal, its 18th, includes the $45 cap as a key measure. While it requires unanimous backing from all member states, officials hope the upcoming G7 summit will provide momentum.
Despite U.S. hesitation, sources say Washington’s participation is no longer essential to enforcing the cap, thanks to the UK’s control of maritime insurance and the EU’s sway over most rule-abiding tanker operators.
Read more on The Gaze: Zelenskyy to Attend G7 Summit in Canada, Hopes to Meet President Trump on Sidelines