Ban on shipments of Russia's coal, oil products to Ukraine comes into force

Subject to the ban are crude oil, lubricants, petroleum jelly and coke, bituminous and asphalt mixtures, etc.

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A ban on shipments of coal and oil products from Russia to Ukraine came into force on June 1, 2019.

Earlier, Russian Prime Minister Dmitry Medvedev said that the move is a response to "Ukraine's unfriendly actions," the Ukrainian-language service of Germany's Deutsche Welle (DW) reported Saturday, June 1.

Read alsoUkraine's Economy Ministry comments on Russian ban on supplies of crude oil, fuel

According to Russia's resolution, subject to the ban are crude oil, lubricants, petroleum jelly and coke, bituminous and asphalt mixtures, etc. In addition, permission from Russia's Economic Development Ministry is required for exports of certain types of raw materials, namely hard coal, brown coking coal, commercial gasoline, diesel fuel, propane, butane, and other liquefied gases.

The ministry on May 31 sent proposals to the Russian government regarding the list of enterprises and exports of certain types of petroleum products and coal to Ukraine from June 1. The list and volumes of exports will be reviewed every month based on companies' applications.

On May 31, Secretary of the National Security and Defense Council (NSDC) of Ukraine Oleksandr Danyliuk said that Russia's restrictions on supplies of diesel fuel, oil and oils could create problems in Ukraine, since, for example, the share of Russia's diesel fuel in the country is almost 40%.

"This is significant, and in anticipation of the restrictive measures [on the part of Russia], it is businesses that need to think about how to diversify [their] supplies. And this is actually happening," the NSDC secretary said. Danyliuk did not rule out that the supplier might be changed, and there would be no actual limitation on the said supplies.

According to Russia's Energy Ministry, shipments of Russian coal to Ukraine in 2018 grew by 29%, to 12.4 million tonnes. The ministry forecast that exports would remain at the same level in 2019.

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