The export duty on oil and petroleum coke in Russia will be reduced to zero from January 1, 2024, Russia media Tass reported, citing the Ministry of Finance.

In accordance with the established procedure for calculating duties, the export duty on oil in the Russian Federation from January 1, 2024 will decrease by $24.7 and amount to $0.0/t, according to an official statement.

Export duties on light and dark petroleum products and oils will also be zeroed out. The duty on the export of commercial gasoline, straight-run (naphtha), and coke will also be reset to zero. The duty on liquefied petroleum gas (LPG) will be $1.6, the duty on pure LPG fractions will be $1.4, the financial department said.

As of December 1, the duty on light petroleum products and oils was $7.4/t, on dark petroleum products - $24.7/t, on the export of commercial gasoline - $7.4/t. The duty on liquefied gas was $4.7, on pure fractions of LPG - up to $4.2, duty on coke - $1.6/t.

As one of the world's largest oil-producing countries, the reduction of export duties will directly increase global oil supply and is expected to help alleviate the global energy crunch.

It could also potentially lead to a decline in oil prices, benefiting countries by reducing energy costs and promoting economic growth. However, for countries heavily reliant on oil exports, a decrease in oil prices may have some impact on their revenues.

(Writing by Emma Yang  Editing by Harry Huo)
For any questions, please contact us by inquiry@fwenergy.com or +86-351-7219322.

Share this article

Connect with us