Russia will inevitably be forced to reduce oil production, as Ukraine’s attacks on port infrastructure, pipelines, and refineries have reduced the country’s export capabilities by 20%. This was reported by Reuters, citing its own sources.
A reduction in production in Russia, the world’s second-largest oil exporter, will increase pressure on global supplies at a time when oil markets have already experienced unprecedented disruptions due to the conflict in the Middle East.
Over the past month, Ukraine has intensified attacks on Russian infrastructure related to oil exports. The largest drone strikes in more than four years of war have targeted the Baltic ports of Ust-Luga and Primorsk, aimed at weakening the Russian economy.
At least 20% of Russia’s total export capacity is currently idle, according to three sources familiar with the matter, down from a peak of 40% in March, but still enough to affect oil production in the country, the world’s third-largest producer after the United States and Saudi Arabia.
