Ukraine strikes on Russian oil partly fueled global energy shock, Bessent says

Ukrainian strikes targeting Russian energy infrastructure have contributed to a global surge in energy prices, according to U.S. Treasury Secretary Scott Bessent. Bessent stated that Kyiv's decision to attack Russian oil assets and refined products is creating upward price pressure on the global market.

These attacks are part of Ukraine's strategy to undermine Russia's budget revenues and its capacity to fund its ongoing war. Bessent linked these disruptions, along with those caused by the U.S.-Iran war which led to the closure of the Strait of Hormuz, to a worldwide "energy shock."

Analysts cited by Bloomberg estimate that Russia's crude processing rate fell to approximately 3.6 million barrels per day in July, the lowest level recorded since May 2002. This has resulted in significant fuel shortages and long queues at gas stations across Russia, prompting the country to impose a ban on fuel exports.

Bessent's remarks came after a meeting with Russian Finance Minister Anton Siluanov at the 2026 G20 Financial meetings in Asheville, North Carolina, where he urged an end to the conflict in Ukraine.