President Joe Biden announced on Tuesday that he was banning the import of Russian oil, natural gas and coal in retaliation for its invasion of Ukraine.
“Today I am announcing the United States is targeting the main artery of Russia’s economy. We’re banning all imports of Russian oil and gas and energy,” Biden said in remarks from the White House. “That means Russian oil will no longer be acceptable at US ports and the American people will deal another powerful blow to Putin’s war machine.”
“Ukraine will never be a victory for Putin,” Biden added.
“US imports from Russia make up a small slice of American energy portfolio — roughly 8% in 2021, of which only about 3% was crude oil” notes CNN. But Biden acknowledged that the ban would likely raise prices at the pump.
“The decision today is not without cost here at home. Putin’s war is already hurting American families at the gas pump. Since Putin began his military build-up at the Ukrainian border, just since then, the price of gas in America went up 75 cents. With this action it is going to go up further,” he said.
Biden continued, “I said I would level with the American people from the beginning, and when I first spoke to this, I said defending freedom is going to cost, it’s going to cost us as well in the United States. Republicans and Democrats understand that alike. Republicans and Democrats alike are clear we must do this.”
Biden also pledged “to do everything I can to minimize Putin’s price hike here at home.” He praised many American oil and gas companies for already pulling out of Russia, but warned them not to raise prices recklessly.
“Russia’s aggression is costing us all. And it’s no time for profiteering or price gouging. I want to be clear about what we’ll not tolerate,” Biden said.
Ukrainian President Volodymyr Zelensky has repeatedly urged world leaders to embargo Russia’s energy sector. The U.S. is the first major economy to heed the call. European nations are much more reliant on Russian oil and gas and fear the economic repercussions.
Yet, several Western allies inched away from Russia’s energy market on Tuesday.
The Wall Street Journal reports
The U.K. government said Tuesday it will phase out Russian oil imports by the end of 2022. Russian oil imports currently make up 8% of U.K. demand. The government is also exploring options to end Russian gas imports altogether.
The European Union said Tuesday that it planned to cut its imports of Russian natural gas by two-thirds by the end of this year.
The Associated Press provides key context:
The White House announcement comes amid bipartisan pressure on Capitol Hill to ban Russian energy and impose other economic costs.
Last week, House Speaker Nancy Pelosi gave a big boost when she declared, “Ban it.”
On Monday, Democrats on the powerful Ways & Means Committee posted, then removed, an announcement on a bipartisan bill to ban Russian oil imports and slap further trade sanctions on the country, according to an aide, because of pushback from the White House to acting before Biden had made his decision.
Pelosi told Democrats in a meeting early Tuesday that the House would go forward with a vote on legislation to ban the Russian oil imports.