The West and its allies have sanctioned many key Russian exports and revenue streams in response to Russia’s full-scale invasion of Ukraine. While some of those sanctions have been very effective, others have had mixed results or even backfired.

Straight Arrow News contributor Peter Zeihan explains why Russian oil exports have seen such persistent demand and profitability despite the sanctions that have been so effective against Russian natural gas and other exports.

Excerpted from Peter’s Oct. 5 “Zeihan on Geopolitics” newsletter:

While sanctions on Russian natural gas have proven highly effective, those imposed upon Russian oil have somewhat backfired. Although oil exports have dropped by 10%, several factors have skyrocketed Russia’s earning potential.