The conflict has contributed to instability in the global energy markets, as Russia is a major supplier of oil and natural gas, and any disruption in supplies could lead to higher energy prices.
American businesses depend on Russia and Ukraine for a plethora of commodities. As OEC mentioned four critical ones - neon gas, palladium, platinum and pig iron will be in short supply.
The conflict will drive up global commodity prices, fuelling inflation. As a result USA have lowered GDP forecast this year from 3.4% to 3% and impacted approx. 12% of the USA economy.
Economic activity will remain deeply depressed with minimal growth of 0.3% expected in 2023, as energy price shocks continue to impact the region.
Hardest hit will be countries relies on natural gas imports for heating (which accounts for 30% of energy demand) industry or electricity and countries closely connected with EU energy markets.
The consumer price index increased from 7.9% to 8.5% the fastest pace in nearly 40 years. Gasoline costs and food was also a sizable contributor to the jump
The war in Ukraine will accelerate the fragmentation of the global geopolitical landscape. Notably, it will further deepen the rift between China and the USA
President Biden announced intensifying sanctions including blocking select Russian banks from processing transactions in dollars and banning Russian banks from SWIFT
US lawmakers also voted to revoke Russia’s “most favoured nation” trade status and ban imports of its oil and other energy products.
U.S. humanitarian assistance includes providing food, safe drinking water, shelter, emergency health care and protection to communities affected by ongoing fighting.
The USA government supports vulnerable populations in Ukraine, journalist, anti-corruption activists & women’s groups.