U.S. pushes for Russian mineral sanctions... to tighten Putin's purse strings

Bloomberg reported on the 23rd that the U.S. is pushing for sanctions on Russian minerals to block funds for the Russian war.

The U.S. has asked the G7 to consider sanctions on Russian palladium and titanium, sources familiar with the matter said.U.S. officials

proposed the plan at a meeting of G7 finance ministers in Washington, D.C., the source said.

The sanctions are aimed at further straining the Russian economy at a time when Russia's invasion of Ukraine is well over two years old, the sources said.

However, given that palladium and titanium are key minerals used throughout the industry, and that Western countries have been concerned about disruptions in the raw material market and supply chain disruptions, it is unclear whether sanctions will actually be imposed.

Palladium is used as a catalyst for reducing automobile emissions, and Russia is the largest producer, accounting for about 40% of global supply.

Titanium is also used in various ways, such as aircraft and medical implants.

Russian company Nornickel is known to account for about 40% of global palladium production, and titanium, which is used in the global aviation sector, is also supplied by Russian companies.

Earlier in December last year, when the British government announced sanctions on Russian metals except palladium, the price of palladium, which was not subject to sanctions, soared 12%.

G7 members Germany, France and Italy need the consent of other EU countries to implement the sanctions.