Hungary will hold talks to deal with rising oil prices as US imposes sanctions on Russian oil

Hungary plans to hold talks with Allies to deal with rising oil prices caused by a new round of U.S. sanctions on Russian oil and gas.

Hungary's Foreign Minister said on Facebook on Sunday (January 12) that the series of US sanctions had once again posed a serious challenge to Central Europe. The reduced supply of crude oil will increase demand for refined fuels such as gasoline and diesel, increasing the risk of "severe" price increases within the region.

He said Hungary would start talks with Allies to soften the blow to prices and the overall economy.

U.S. President Joe Biden's administration on Friday announced the broadest package of sanctions to date targeting Russian oil and gas in an effort to give Ukraine and President-elect Donald Trump's new team leverage to reach a peace deal.

The US Treasury imposed sanctions on Gazprom Neft and Surgutneftegas, which explore, produce and sell oil, as well as 183 vessels transporting Russian oil.

Oil prices hit a three-month high after news of the sanctions broke.