After Bloomberg News reported Tuesday that the move was imminent, the U.S. oil benchmark extended gains, rising 7.5% to $128.38 at 10:45 a.m. in New York. The prospect of an oil import ban is helping drive crude to its highest levels since 2008.
Europe, by comparison, imports about 4 million barrels per day of Russian crude and refined products, according to Eurostat data. Russia was the source of 27% of Europe’s crude oil imports in 2019, according to the European Commission.
Canada’s government announced last month that it intended to ban all crude oil imports from Russia, but the move was largely symbolic. The country hasn’t imported any since 2019.
House Speaker Nancy Pelosi told lawmakers Tuesday that House Democrats still plan to move ahead with legislation. She previously said they were “exploring strong legislation” that would ban the import of Russian oil and energy products among other steps to isolate Russia from the global economy.
Pressure to act increased increased after President Volodymyr Zelenskiy asked lawmakers to ban the import of Russian oil during a call on Saturday.
Biden administration officials on Monday asked Pelosi to hold off amid concern that it was important politically for the White House to move first. The administrative approach also gives Biden more flexibility to adjust import controls later if tensions ease or prices rise precipitously.
In a sign that the U.S. is trying to round up other sources of energy, two senior U.S. officials met over the weekend with members of Venezuelan President Nicolas Maduro’s government in Caracas to discuss global oil supplies and the country’s ties to Russia, according to people familiar with the matter. The Biden administration is weighing a temporary waiver of sanctions against the country’s oil industry to allow it to increase production and sell more to on the international market, two of the people said.
--With assistance from Jennifer Jacobs, Annmarie Hordern, Saleha Mohsin and Jennifer A. Dlouhy.
This article was provided by Bloomberg News.