The West’s oil war against Russia is starting to lose momentum

Published

2 years ago

May 24, 2023

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Tankers located in the waters near Ceuta, Spain are transferring crude oil from Russia to reach the Asian markets in spite of Western sanctions.

Europa Press News | Europa Press | Getty Images

Russia’s oil revenues rebounded in March and April to reach the highest level since November last year, according to a new report, bolstering President Vladimir Putin‘s ability to finance the Kremlin’s onslaught in Ukraine.

Analysis published Wednesday by the Centre for Research in Energy and Clean Air, an independent Finnish think tank, found that Russia’s revenues from oil exports have recovered from levels reached in January and February.

The findings show that Moscow has recently been able to successfully claw back earnings from fossil fuel exports despite the imposition late last year of import bans from the European Union and a broader G7 oil price cap.

It comes less than a week after G7 leaders said at the conclusion of the Hiroshima Summit in Japan that a price cap on Russian oil and petroleum products was working, Russian revenues were down and falling oil and gas prices were benefitting countries around the world.

This is a clear indication that the enforcement is not working.

Lauri Myllyvirta

Lead analyst at the Centre for Research in Energy and Clean Air

Energy analysts at CREA suggested the failure from the so-called Price Cap Coalition to revise price levels and enforce the policy had resulted in the measures “losing traction, integrity and credibility.”

“The EU has failed in its commitment to review the price cap every two months to ensure that it stays lower than the average market price,” said Lauri Myllyvirta, lead analyst at CREA and co-author of the report.

“This is a clear indication that the enforcement is not working,” he added.

A spokesperson for the European Union declined to comment when contacted by CNBC.

Russia’s oil revenue recovery expected to continue

At the start of the year, data showed Russia’s revenue from fossil fuel exports had collapsed in December. It appeared to underscore the effectiveness of policymakers targeting Russia’s oil revenues and sparked calls for even tougher measures to help Kyiv prevail.

CREA’s latest findings, however, show that Russia’s oil tax revenues rose 6% month-on-month in April due to the increase of export revenues in March.

To be sure, the Kremlin’s revenues were significantly below levels recorded in April last year, when oil prices jumped.

The increase of export revenues in March resulted in a 5% month-on-month rebound in Russia’s mineral extraction tax receipts in April, the report said — and an even larger increase is expected in May.

It means that after bottoming out at the start of 2023, Russia’s oil tax revenues have since recovered due to increased sales.

Russian President Vladimir Putin meets with the Supreme Court chairman Vyacheslav Lebedev at the Kremlin in Moscow on May 22, 2023.

Mikhail Klimentyev | Afp | Getty Images

“The Kremlin’s tax revenue has closely followed prices for Russian crude oil, highlighting the importance of the oil price cap. The state is also changing its tax regime to diminish the impact of the price cap,” said Isaac Levi, energy analyst at CREA.

“Unless the price cap coalition takes action to lower the price cap level and plug the enforcement gaps, changes to Russia’s oil taxation structure will force the price of Russian crude oil closer to international benchmarks, leading to further recovery of Russia’s oil revenue and wholesale failure of the price cap system,” he added.

CREA’s analysis said that since the EU’s import bans and the G7 price cap on Russian oil, Moscow has earned an estimated 58 billion euros ($62.5 billion) in export revenues from seaborne oil.

The majority of which was transported on European-insured or owned tankers, it added. Russia’s revenues could be slashed by a further 22 billion euros if the price cap for crude oil was reduced to $30 per barrel and price caps for oil products were revised accordingly, CREA said.

What is the aim of the price cap?

The G7, Australia and the EU implemented a $60-per-barrel price cap on Russian oil on Dec. 5. It came alongside a move by the EU and U.K. to impose a ban on the seaborne import of Russian crude oil.

Together, the measures were thought to reflect by far the most significant step to curtail the fossil fuel export revenue that is funding Russia’s war in Ukraine.

In February, the Price Cap Coalition followed up its crude oil price cap by imposing a $100 per barrel price cap on Russian petroleum products such as diesel and a $45 per barrel cap on Russian petroleum products such as fuel oils that trade at a discount to crude.

The aim of the price cap policy is to restrict Russia’s oil revenues while maintaining the supply of Russian oil. The U.S. Treasury said in an update last week that nearly six months after the implementation of the price cap, the policy was achieving both goals.

The Treasury estimates that Russia’s oil revenues have fallen to just 23% of the Russian budget this year, down from 30% to 35% of the total Russian budget before Moscow launched its war in Ukraine in February 2022.

The U.S. said this decline in revenue occurred at a time when Russia is exporting as much as 10% more crude oil in April 2023 when compared to March last year.

Environment

Mazda’s new electric SUV hits dealerships with over 20,000 pre-orders in China

Published

3 hours ago

May 30, 2025

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Mazda's new electric SUV hits dealerships with over 20,000 pre-orders in China

Mazda calls it a “dream car.” The EZ-60 is about the size of a Tesla Model Y, and it will be sold globally. After racking up over 20,000 pre-orders in just over two weeks, Mazda’s new electric SUV is now arriving at dealerships across China.

Mazda’s EZ-60 electric SUV reaches dealerships in China

The EZ-60 is Mazda’s first electric SUV from its joint venture with Changan Auto. Following the EZ-6, it’s the second dedicated Mazda EV to land in China.

After its debut on April 23, Changan Mazda announced that the EZ-60 had secured over 10,000 pre-orders in 24 hours, a new record for joint-venture electric SUVs. With the current tally at over 20,000, Mazda’s new electric SUV is now arriving at dealerships across China.

The EZ-60 is based on Changan’s hybrid platform and uses a CATL LFP battery for a CLTC range of up to 600 km (372 miles). It’s also available with a 1.5L gasoline engine, providing a combined range of over 1,300 km.

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To keep pace in China’s competitive EV market, Mazda’s electric SUV is specifically designed for Chinese buyers.

Mazda-EZ-60-electric-SUV-interior — Mazda EZ-60 electric SUV interior (Source: Changan Mazda)

It includes “a number of world-first technologies,” including a 100″ naked-eye 3D head-up display (HUD), voice recognition, and advanced safety systems.

Mazda’s new EZ-60 electric SUV is about the same size as a Tesla Model Y, measuring 4,850 mm in length, 1,935 mm in width, and 1,620 mm in height.

Mazda's-new-electric-SUV-dealerships — Mazda EZ-60 electric SUV (Source: Changan Mazda)

To lure potential buyers, Mazda launched a deposit program this week. With an initial 10 yuan deposit, buyers can grow their account by 10 yuan every day with an “expansion code.”

Test drives are expected to be available in July, with the first customer deliveries set to follow in August. Like the EZ-6 sedan, Mazda’s electric SUV will be sold in several global markets, including Europe, starting next year. It will launch under the name CX-6e.

Mazda-first-EV-overseas — Mazda 6e electric sedan for overseas markets like Europe (Source: Changan Mazda)

In Europe, the electric sedan is called the Mazda 6e. It will be available in two battery packs: 68.8 kWh or 80 kWh, offering a WLTP driving range of 479 km (300 miles) and 552 km (343 miles), respectively.

More info, including final specs and prices for the global version, will be revealed closer to launch. Check back soon for the latest.

Source: CarNewsChina, Changan Mazda

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Environment

Trump will hold a rally at U.S. Steel as investors seek clarity on Nippon deal. Here’s what we know

Published

4 hours ago

May 30, 2025

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Trump will hold a rally at U.S. Steel as investors seek clarity on Nippon deal. Here’s what we know

Sen. Dave McCormick on Nippon-U.S. Steel deal: A win-win situation for both sides

President Donald Trump will hold a rally Friday at a U.S. Steel plant near Pittsburgh, a week after signaling that he had cleared a controversial merger with Japan’s Nippon Steel.

Trump is scheduled to deliver remarks at 5 p.m. ET at U.S. Steel’s Irvin Works in West Mifflin, Pennsylvania, according to the White House. Investors and union members will listen for answers from the president on what shape the deal he announced between U.S. Steel and Nippon will take.

Trump described the deal as a “partnership” in a May 23 post on his social media platform Truth Social. The president said U.S. Steel’s headquarters would remain in Pittsburgh and Nippon would invest $14 billion over 14 months in the more than 120-year-old American industrial icon.

Trump told reporters on Sunday that the deal is an “investment, it’s a partial ownership, but it will be controlled by the USA.” But the White House and the companies have provided little detail to the public on how the deal is structured since Trump’s announcement.

U.S. Steel has described the deal as a “merger” in which it will become a “wholly owned subsidiary” of Nippon Steel North America but continue to operate as separate company, according to an April 8 filing with the Securities and Exchange Commission.

Sources familiar with the matter told CNBC’s David Faber that Nippon is expected to close its acquisition of U.S. Steel at $55 per share, the original offer the Japanese steelmaker made before President Joe Biden rejected the deal in January. Biden blocked Nippon’s proposed acquisition on national security grounds, arguing that it would jeopardize critical supply chains.

U.S. Trade Rep. Jamieson Greer: Very concerned with Chinese non-compliance on trade agreement

But Trump ordered a new review of the deal in April, softening his previous opposition to Nippon buying U.S. Steel. The president announced the “partnership” one day after the Committee on Foreign Investment in the United States was supposed to conclude its review and make a recommendation on whether the companies had found ways to “mitigate any national security risks.”

‘National security agreement’

Pennsylvania Sen. Dave McCormick told CNBC on Tuesday that the U.S. government will have a “golden share” that will allow it to decide on a number of board seats. U.S. Steel will have an American CEO and a majority of the board will come from the U.S. McCormick said.

“It’s a national security agreement that will be signed with the U.S. government,” McCormick told CNBC’s “Squawk Box.” “There’ll be a golden share that will essentially require U.S. government approval of a number of the board members and that will allow the United States to ensure production levels aren’t cut.”

Nippon will “have certainly members of the board and this will be part of their overall corporate structure,” McCormick told CNBC. White House Trade Advisor Peter Navarro told reporters Thursday that “Nippon Steel is going to have some involvement, but no control of the company.”

“U.S. Steel owns the company,” Navarro said. U.S. Trade Representative Jamieson Greer told CNBC on Friday that the details of the Nippon Steel deal “remain confidential, relatively.”

“The underlying principle is that the United States should have control over key critical sectors, whether it’s basic manufacturing or high tech,” Greer told “Squawk Box.” “In the event that foreign countries or foreign individuals or firms want to acquire these companies or have large investments, the U.S. has to maintain control of things that matter.”

The United Steelworkers, which originally opposed the deal, has said the union “cannot speculate about the impact” of Trump’s announcement “without more information.”

“Our concern remains that Nippon, a foreign corporation with a long and proven track record of violating our trade laws, will further erode domestic steelmaking capacity and jeopardize thousands of good, union jobs,” USW President David McCall said in a statement.

Environment

Hyundai’s first three-row electric SUV is here as IONIQ 9 deliveries kick off across the US

Published

4 hours ago

May 30, 2025

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Hyundai's first three-row electric SUV is here as IONIQ 9 deliveries kick off across the US

Hyundai handed over one of the first IONIQ 9 models to customers in the US on Friday, marking the start of deliveries for its new three-row electric SUV.

Hyundai IONIQ 9 deliveries are now underway in the US

Just over two months after the first models rolled off the assembly line at Hyundai’s new EV plant in Georgia in March, deliveries are now underway.

Hyundai delivered one of the first IONIQ 9 models to customers in Georgia. The owners, Jennifer and Dwayne Maynard, traded in their IONIQ 5 for the larger electric SUV.

“We loved our IONIQ 5, but the IONIQ 9 offers everything we need and more for our family and our adventures,” Jennifer Maynard explained.

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With up to 2,472 liters (87 cubic feet), Hyundai’s three-row SUV boasts more interior cargo space than a Ford Explorer (2,492 liters).

To showcase the spaciousness of the IONIQ 9, Hyundai launched a new marketing campaign, “Space to Connect,” earlier this month, offering a glimpse inside the seven-seat family hauler.

Not only does the SUV have “class-leading” interior space, but it’s also loaded with Hyundai’s latest tech and software.

The interior features a panoramic curved display with over 24″ of screen space, including dual 12.3″ driver display and infotainment screens.

Hyundai-vehicle-prices — 2026 Hyundai IONIQ 9 interior (Source: Hyundai)

Hyundai announced that 2026 IONIQ 9 prices start at just over $60,500, including a $1,600 destination fee. That’s for the base RWD model, which has a range of up to 335 miles. The AWD trim, with 303 horsepower and 320 miles range, starts at under $65,000.

Hyundai-IONIQ-9-interior-space — Hyundai IONIQ 9 interior (Source: Hyundai)

Like the upgraded 2025 IONIQ 5, Hyundai’s three-row electric SUV features a built-in NACS port, allowing you to access Tesla’s Supercharger network. Using a 350 kW DC fast charger, the IONIQ 9 can recharge from 10% to 80% in about 24 minutes.

While it’s still available, the IONIQ 9 qualifies for the $7,500 federal tax credit, which could lower prices to as low as $53,055.

2026 Hyundai IONIQ 9 Model	EV Powertrain	Drivetrain	Driving Range (miles)	Starting Price (including destination fee)
IONIQ 9 RWD S	160-kW (215-HP) Electric Motor	Rear- Wheel Drive	335	$60,555
IONIQ 9 AWD SE	226.1 kW (303-HP) Dual Electric Motors	All-Wheel Drive	320	$64,365
IONIQ 9 AWD SEL	226.1-kW (303-HP) Dual Electric Motors	All-Wheel Drive	320	$67,920
IONIQ 9 AWD PERFORMANCE LIMITED	314.6-kW (422-HP) Dual Electric Motors	All-Wheel Drive	311	$72,850
IONIQ 9 AWD PERFORMANCE CALLIGRAPHY	314.6-kW (422-HP) Dual Electric Motors	All-Wheel Drive	311	$76,590
IONIQ 9 AWD PERFORMANCE CALLIGRAPHY DESIGN	314.6-kW (422-HP) Dual Electric Motors	All-Wheel Drive	311	$78,090

2026 Hyundai IONIQ 9 prices and driving range by trim (*including a $1,600 destination fee)

With deliveries now underway, there are a few deals that are worth checking out. Hyundai is offering a $5,000 cash bonus on all IONIQ 9 trims. With the $7,500 credit, you can snag up to $12,500 in upfront savings

Leases start as low as $419 for 36 months, which is even more affordable than a Toyota Highlander XLE Hybrid right now. If you’re looking for something smaller, the 2025 IONIQ 5 is available with leases starting at $209 per month.

Until June 2, Hyundai will give you a free ChargePoint Level 2 charger with the purchase or lease of a 2026 IONIQ 9 or 2025 IONIQ 5. Earlier today, we learned that Hyundai could raise vehicle prices as soon as next week.

Ready to check out Hyundai’s electric SUVs for yourself? We’re here to help. You can use our links below to find deals on the Hyundai IONIQ 9 and IONIQ 5 in your area.

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