The Biden administration is planning to ban Russian oil imports into the U.S. and an announcement on the issue is imminent, according to people familiar with the matter.
The administration’s deliberations about the ban have ramped up as lawmakers of both parties, including House Speaker Nancy Pelosi, called for action on the issue.
The people said Mr. Biden is expected to make the announcement on Tuesday. Mr. Biden is scheduled to deliver remarks on the crisis in Ukraine at the White House on Tuesday morning.
The White House declined to comment.
The U.S. and its allies in Europe have unleashed a wave of sanctions against Russia in response to its invasion of Ukraine, but they have largely avoided targeting the country’s oil sector, the lifeblood of its economy, out of fear that limiting oil sales could cause crude prices to spike globally. Oil prices have already risen 58% since the beginning of the year and on Monday neared $140 a barrel.
Mr. Biden has said he wants to do everything he can to insulate Americans from continued oil and gasoline price increases, and some of his advisers have raised concerns that a ban on Russian imports could exacerbate pain at the pump.
In recent days, as Russia continued its assault on Ukraine, the administration has taken a more serious look at the ban, the people familiar with the internal discussions said.
In a video call on Saturday, Ukrainian President Volodymyr Zelensky appealed directly to U.S. lawmakers to support a ban on Russian oil imports. Bipartisan legislation in the House and the Senate has picked up support from dozens of lawmakers.
On Monday, House Majority Leader Steny Hoyer (D., Md.) said the House could take up a bill to ban Russian imports as soon as this week. Senate Majority Leader Chuck Schumer (D., N.Y.) hasn’t indicated what the Senate would do.
White House press secretary Jen Psaki said Monday that the president hadn’t decided whether to take executive action to ban Russian oil imports or whether he would sign the bill if it is sent to his desk.
Russia is the world’s third-largest oil producer, responsible for more than 10% of global supply, according to U.S. Energy Information Administration data. Its exports account for 7% of the world market, half of that going into Europe, according to analysts.
Europe’s reliance on Russian oil makes any decision about banning Russian imports on the continent particularly complicated. U.S. officials said they have been in regular communication with allies in Europe as they discussed the ban.
Oil analysts have said that sanctions previously imposed on Russia have already discouraged banks and oil companies from buying the country’s crude, and the sharp increase in oil prices in recent days is a sign the market expects further disruptions. Exxon Mobil Corp., BP PLC and Shell PLC all announced plans to exit Russian operations last week.
Though the U.S. is the world’s biggest oil producer, it still imports millions of barrels each day from other parts of the world because the country consumes far more oil than companies extract domestically.
Russian oil makes up a small proportion of the crude that the U.S. imports. The U.S. gets most of its crude imports from Canada, Mexico and Saudi Arabia.
About 8% of U.S. imports of oil and refined products, or about 672,000 barrels a day, came from Russia last year, according to EIA data. Of that, Russia’s crude made up roughly 3% of the nation’s imports, about 200,000 barrels a day.
Write to Andrew Restuccia at [email protected], Justin Scheck at [email protected] and Vivian Salama at [email protected]
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