Putin attempts to undermine oil price cap as global energy markets fracture
Russia’s announcement of an oil export ban on countries that abide by a G-7 price cap is the latest sign that we’ve entered a new era for global energy markets, according to analysts.
But they also note it’s unlikely to have a short-term impact on oil prices, with markets taking their cues from data and concrete actions rather than words.
The price cap was introduced on Dec. 5 and requires traders using Western services such as maritime routes, insurance and financing to pay no more than $60 per barrel for seaborne Russian oil. Urals crude is currently trading around $50 per barrel, according to Finnish refining firm Neste.
Russia on Wednesday said that from Feb. 1 it would stop crude oil and oil products for five months to any nation that adhered to the cap, with a separate ban on refined oil products to come.
Dan Yergin, vice chairman of S&P Global, told CNBC’s “Squawk Box” Tuesday that despite skepticism over whether the program would work, leaders had found a way to keep oil flowing into the market while reducing Russian oil revenues.
But as a result, he said, we now have a “divided, more politically charged oil market.”
“For the last 30 years, since the collapse of the Soviet Union, we’ve had a global market in which oil has pretty much moved around based on the economics, exceptions were Iran and Venezuela.”
“But now we have what I call a partitioned oil market in which Russian oil can no longer go to its largest market, which is Europe, and the markets have been divided and that oil is now flowing east.”
European countries have been scrambling to find alternative sources of oil and gas and new energy security solutions following Russia’s unprovoked invasion of Ukraine in February. The EU got 14.4% of its petroleum oils from Russia in the third quarter of 2022, down 10.5 percentage points year-on-year, as it increased imports from the U.S., Norway, Saudi Arabia and Iraq.
On Wednesday, a German government spokesperson told Reuters that Moscow’s ban would have “no practical significance” for its economy, which is Europe’s largest.
Sophie Lund-Yates, lead equity analyst at Hargreaves Lansdown, said the ban would “add fuel to the anxieties around supply.” Coming just as China’s reopening is set to increase oil demand, oil prices are likely to remain elevated, she told CNBC by email.
However, she added: “To some extent, the export ban will have been priced in already – Russia readily applying pressure to countries which enforce unhelpful policies isn’t a new or unexpected tactic. The shock in the oil price that we’ve seen today isn’t as bad as it could have been and is likely to calm down, at least partly, in the coming weeks.”
Bill Weatherburn, commodities economist at Capital Economics, agreed the immediate market impact would be limited since the move has been threatened by Russia for some time.
He also said this would be the case because the U.S. and Europe have already banned Russian seaborne crude oil imports; and Urals crude is still trading below $60, so India and China can continue to import without falling foul of the cap.
Boom phase
Bob McNally of Rapidan Energy Group told CNBC’s “Squawk Box Asia” the EU’s embargo on Russian seaborne oil, the oil price cap and Russia’s export ban would be the most significant factors impacting supply next year, and presented a “completely new” scenario.
He expects 2023 and subsequent years to see continued volatility in oil markets. Brent crude oil futures are currently trading around $84 per barrel, near where they started the year, but have been on a rollercoaster in the mean time, approaching $140 per barrel in intraday trading in March and rising above $120 per barrel in June.
McNally believes the market is ending a roughly seven-year bust phase that was characterized by oversupply, and is in the foothills of a new multi-year boom phase that will see stronger than expected demand. That will play out amid big geopolitical and macroeconomic uncertainties, and OPEC+ will struggle to balance the market, he said.
With Russia remaining the world’s largest oil exporter for crude and refined products combined, the effects of its new embargo could be huge.
But for now, McNally argued, markets have a “boy who cried wolf” mentality after warnings that Russian supply would be cut off in March 2022 sent prices soaring but did not materialize.
“The market is in a little bit of a complacent mood regarding Russia, saying we’ll believe it when we see it,” McNally said.
Russian seaborne crude oil exports are down around 24% month-on-month in December — “so it’s starting to happen, but the market will wait till it can see it before it prices it in and reacts to it,” he added.
Amazon is adding over 200 Mercedes-Benz eActros 600 electric semi trucks to its fleet later this year – its largest-ever order of electric heavy goods vehicles (eHGVs).
Amazon’s new electric semi trucks
These electric trucks will handle high-mileage routes across the UK and Germany, moving trailers between Amazon’s fulfillment centers, sorting centers, and delivery stations.
The new eHGVs are expected to transport more than 350 million packages annually once fully operational.
Amazon is installing 360kW charging stations at key sites capable of powering the 40-tonne trucks from 20-80% in just over an hour. The company is also working with stakeholders to establish external charging locations to support longer routes.
The eActros 600 is Mercedes-Benz Trucks’ flagship electric long-hauler, with a battery capacity of more than 600 kWh and a range of 310 miles (500 km). Production of the eActros 600s recently began at Mercedes-Benz’s factory in Wörth, Germany.
Sustainable delivery across Europe
In the UK, Amazon has begun using the electric rail network for package transport at scale. It’s also rolling out on-foot delivery options in London, with associates using carts that can be restocked from nearby vans. In Germany, Amazon doubled its fleet of Rivian electric delivery vans to over 600, and electric cargo bikes delivered more than 1.5 million packages in Berlin alone last year.
By the end of 2024, Amazon plans to expand its micromobility hubs – locations supporting deliveries by foot and cargo bike – to Germany’s five largest cities and beyond. Across Europe, the company is investing more than €1 billion to further electrify and decarbonize its transportation network.
Amazon’s European network already includes 38 eHGVs, with 50 electric semis recently deployed in California. The company’s fleet of electric delivery vans in Europe has grown to over 3,000 and is expected to surpass 10,000 by the end of 2025. Micromobility hubs have also expanded from 20 cities in 2022 to more than 45 by the end of 2024, including new additions in Belfast, Madrid, Rome, and Vienna.
Electrek’s Take
Amazon says its latest electric semi truck order aligns with The Climate Pledge it announced in 2019, in which the company committed to achieving net zero across its operations by 2040. While The Climate Pledge initiative has garnered praise, it has also faced criticism and skepticism regarding its effectiveness and transparency.
In 2020, Amazon faced allegations of retaliating against employees who spoke out about the company’s environmental policies. The National Labor Relations Board found that Amazon had illegally fired workers who advocated for climate action and better safety measures.
Amazon is also donating $1 million to President-elect Donald Trump’s inaugural fund. Trump is a climate change denier who actively opposes renewables, and not just in the US. Earlier this month Trump demanded that the British government open up the North Sea to fossil fuel drilling and get rid of “windmills.”
Read more: It begins: Mercedes eActros 600 electric semi truck enters production
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![Check out the new Genesis GV60 interior, it looks even more luxurious in blue [Video]](https://i0.wp.com/electrek.co/wp-content/uploads/sites/3/2025/01/Genesis-new-GV60-interior.jpeg?resize=1200,628&quality=82&strip=all&ssl=1)
If you thought the current GV60 looked pretty inside, wait until you see the updated model. Genesis unveiled the new GV60 earlier this month, its first major redesign since launching in 2021. Here’s our first look at the interior of the new Genesis GV60.
Genesis GV60 interior gets an upgrade in the new model
Genesis launched the GV60 in October 2021 as its first dedicated EV. Less than four years later, the luxury electric SUV is already getting a new look.
The luxury brand unveiled the new GV60 last week for the first time. One of the biggest updates is to the front end.
Although the GV60 is already a sporty-looking EV, the redesigned front bumper with a new 3-D shape takes it up another level. Then, add the signature Genesis Two Line headlamps with Micro Lens Array (MLA) tech, and the refreshed GV60 is a head turner.
The revamped model now features 21″ wheels with a new five-spoke design, complementing its wide, low stance.
Inside, the upgraded GV60 features its new 27″ connected car Integrated Cockpit (ccIC) infotainment system. The design “eliminates the bezel” between the driver display and infotainment screens.
The new Genesis GV60 interior also gains a redesigned three-spoke steering wheel for an even more sporty feel while you’re in the cockpit. Other popular features from the outgoing model, like the Crystal Sphere shift-by-wire system, are still included.
After revealing the updated model for the first time last week, we are already getting a look at the redesigned interior.
A new video from Korea’s HealerTV gives us our first look at the Genesis GV60 interior in a new blue color. Although the reporter initially thought it was a performance model, he noted it was just a new color option. Other added design elements, like the large quilting pattern on the side panels, give it that Bentley or Rolls-Royce feel.
Last week, HealerTV posted a video revealing the first look at the updated Genesis GV60 exterior design. You can see the redesigned front and rear bumpers add to the GV60’s already impressive look.
In the US, the 2025 Genesis GV60 starts at $52,350. A new AWD trim was introduced this year, starting at $55,850.
The current mode gets up to 294 miles driving range, but a bigger battery is expected to push that number closer to 300 miles in the 2025MY. It’s expected to feature the same 84 kWh battery as the updated 2025 IONIQ 5, which provides up to 318 miles range. That’s up from 303 miles in the previous model with a 77.4 kWh battery.
| 2025 Genesis GV60 trim | Range (EPA-est) |
Starting Price* |
| Standard RWD | 294 miles | $52,350 |
| Standard AWD | 264 miles | $55,850 |
| Advanced AWD | 248 miles | $60,900 |
| Performance AWD | 235 miles | $69,900 |
Genesis will launch the updated GV60 in Korea in the first quarter of the year, with overseas markets following shortly after. Check back for more info, including prices and specs, closer to launch.
What do you think about the new GV60 design? Do you like the changes? What would you change? Let us know in the comments below.
Ready to check out the electric luxury SUV for yourself? With the 2025 models here, Genesis is offering clearance prices on the 2024 lineup while they are still in stock. You can use our link to find offers on 2024 and 2025 Genesis GV60 models at a dealer near you today.
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