Officials at the US Treasury Department have proposed new restrictions designed to halt a fleet of aging oil tankers that help transport Russian oil in defiance of international sanctions.
However, as the NYT notes, those efforts have been hampered by White House concerns about how it would affect energy prices ahead of the November election. Economic advisers at the White House are against the proposals, even though Treasury officials presented them with analytical data showing low risk of significant impact on the oil market.
Treasury officials want the administration to target shadow fleet tankers with specific fines that could limit their sales or force them to be decommissioned.
Ministry officials have conducted an economic analysis that indicates that the proposed penalties are unlikely to drive Russian oil out of the market but would instead force Moscow to sell more of its oil at lower prices.