Because European industry is heavily dependent on Russian oil and gas, the conventional wisdom is that the EU Commission is just petulant and incompetent.
Because Brussels and their behind-the-scenes backers absolutely want this ban on Russian oil as much as the U.S. and the UK want it.
According to a recent report by Transport & Environment, an NGO which is wholly geared to convincing Europe to get off Russian energy, the Druzhba pipeline only supplies around 10% of Russian oil to the European market.
From Shell to Glencore to Trafigura, Russian oil tenders have become persona non grata and it created a complete mess of their trading books and the commodities-trading industry as a whole, as Credit Suisse's Zoltan Pozsar's note from last month described.
If backing up the pipeline oil is not that big a hit to Russia's production, what is the EU trying to accomplish here?
By disrupting the routes oil normally takes around the world, there is now a structural shortage of tankers to move oil demanded.
This supply shock within the tanker market and the downstream effects of the added costs to the voyages, it is hoped, will create a cascading back-up within the Russian oil industry, forcing the forecasted production hits.
https://tomluongo.me/2022/05/12/real-reason-behind-eu-embargo-russia-oil/
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