Germany Is Now Paying Russia More Money For Fewer Imports

OilPrice ^ | September 12, 2022 | Tsvetana Paraskova

[ConservativeInPA]

In July, Germany reported a 45.8% reduction in imports from Russia compared to a year ago, but the value of those imports had increased by over 10%.

This increase in cost was due largely to higher energy prices, with the value of crude oil, natural gas, petroleum products, and coal all climbing.

The UK, by comparison, has managed to cut its imports from Russia to zero, although it was always less dependent than Germany on Russian energy.

[canuck_conservative]

and what if it’s a mild winter?

then all your fear-mongering was for nothing

[dfwgator]

[Sequoyah101]

The misery that is unfolding in Europe, Germany and the UK specifically, is going to get much worse this winter I’d guess. It will be interesting to watch the blame game played about who caused it and the maybe revolt against green energy. More than $2 trillion in green energy investment in Germany alone and they are going to freeze in the dark.

I hope it plays out writ large for all to see. Maybe it will dampen the spirit of all this madness. Doubt it, this administration will probably double down.

[woodbutcher1963]

Oil is fungible.
Russia will sell the oil to another country. That country will end up selling it to Europe. India's oil purchases from Russia increased substantially. India is turning that into the petroleum products then selling them to Europe. India is buying Russian oil at a $30/barrel discount to the Brent Sea crude price. It works out to $27 million/day profit.

Saudi Arabia is buying Russian oil at a discount and using it for their domestic consumption. They are then selling the same amount of oil on the world market.

The Russian oil will still end up in the world market. It it will just take a different route getting there than it did prior to February.

[Travis McGee]

Hope is not a plan.

Germany is already shutting down industry. The unemployment and inflation is going to kick in no matter how warm or cold this winter is.

[BeauBo]

The new Portovaya LNG terminal near St. Petersburg has been in the works for years, and is just now coming on line.

It is connected to the Nordstream Pipeline for its supply, and has a maximum capacity to liquify about 4% of Nordstream’s capacity - enough to supply Kaliningrad by sea, in case pipeline flows were cut from Germany or Poland.

The only outlet for the other 96% of Nordstream’s capacity, is through Germany.

[delta7]

Meanwhile, Vlad says Checkmate, again, and again. Why is the West ( all western “ leaders”) so intent on committing collective suicide?

[gleeaikin]

I saw earlier reports that Russia would have significant unemployment and office rentals loses because of all the US and European companies pulling out of Russia. How does Russia fare in comparison with similar issues in Europe cause by higher fuel prices?

[Travis McGee]

[If You Want It Fixed - Fix It]

Pay more for less. The new first world way.

[gleeaikin]

So if I am reading your chart correctly, the EUR and RUB were stable from 9/21 until about a month around 3/22 when the EUR was elevated for about a month, came back down and continued to drop to around 60 by 5/22 where it continued to wiggle along near 60 except for 3 brief spikes in June and July 2022. Thus it appears that since May 2022, the Rouble has mostly lost value compared with the Euro. Since I am not a financial analyst I might be interpreting this chart wrong.