Price Cap Coalition

E1. Maritime security, geopolitics and risk

Definition

G7+ measure on Russian oil export pricing (Dec 2022).

The Price Cap Coalition is the G7-plus-Australia-plus-EU mechanism, effective 5 December 2022 for crude and 5 February 2023 for refined products, that bars Western maritime services (shipping, insurance, brokerage, finance) for Russian oil sold above a set price ceiling. The aim was to keep Russian barrels flowing while compressing the Kremlin’s revenue. Its main side effect was the rapid growth of the shadow fleet, which carries above-cap cargoes outside Western insurance to circumvent the measure.