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Trump-Putin diesel deal contradicts Russia sanctions law, critics say
CNBC • • general
Key Points:
- President Donald Trump announced a deal for Russia to supply diesel fuel to the global market, aiming to reduce record-high diesel prices ahead of the midterm elections, marking a shift from previous U.S. efforts to pressure Moscow over the Ukraine war by restricting Russian energy exports.
- The move contradicts recent U.S. sanctions legislation, including the Lindsey O. Graham Sanctioning Russia and Iran Act of 2026, which Trump signed three weeks prior and which empowers tariffs on major buyers of Russian oil and gas.
- Critics from both parties condemned the decision, arguing it undermines bipartisan sanctions intended to increase economic pressure on Russia and could fund the Kremlin's war efforts, with some highlighting the inconsistency given Trump's earlier tough stance on Russian oil imports.
- The Treasury Department quickly issued a temporary general license to permit the supply of Russian diesel for about six months, while Russia welcomed the cooperation as beneficial to the global energy market.
- Trump announced the agreement via Truth Social after discussions with Russian President Vladimir Putin, detailing phased diesel deliveries totaling millions of tons over the coming months.
