Since December 2022, the members of the Price Cap Coalition (PCC), composed of Australia, Canada, the EU, Japan, the UK, and the US, have introduced three different price caps, which are currently in force and subject to periodic revision. The mechanism agreed by PCC set one price cap for Russian oil (3 December 2022) and two caps for petroleum products shipped to third countries (4 February 2023).

This mechanism helps addressing inflation and keeping energy costs stable.

The price caps prohibit operators from members of the PCC to trade, broker or transport petroleum products that originate in or that have been exported from Russia to third countries, unless they are sold at or below the price caps. They also prohibit the provision of services (e.g. insurance) or financial assistance related to this trading, brokering or transporting, unless the petroleum products are sold at or below the price caps.

More information:

Official Journal 

Commission Guidance on the oil price cap

Oil imports: Frequently asked questions

More information on EU sanctions