US President Donald Trump is working with Vladimir Putin to release Russian diesel supplies into global markets, a move that upends years of sanctions as the White House seeks ways to tame soaring fuel prices ahead of the US midterm election, reports Bloomberg.
Trump announced Friday a series of cargoes beginning this month totalling about 13.5 million barrels, initially. The Kremlin published a statement citing Putin who said Russia was ready to supply oil and petroleum products to the US and global markets.
The US Treasury also issued a waiver for previously sanctioned Russian fuel. "That is massive amounts of oil coming into our country, and I want to thank President Putin," Trump said to reporters at the White House on Friday.
"And it's diesel, which is what we want." Following the announcement, Ukraine's European allies, including the UK and Germany, reiterated their support for Kyiv and for continued sanctions against Russia. Diesel, the fuel often dubbed the workhorse of the global economy, has been thrust into the spotlight as a massive supply crunch sent pump prices to records and stoked concerns over energy-driven inflation.
Ahead of US midterms in November, the Trump administration is making a series of moves aimed at bringing down prices, which have raised costs for farmers and truckers. But the Russia action risks sparking geopolitical backlash without boosting supply enough to lower prices significantly.
US diesel futures fell 66 cents a gallon, still at seasonal all-time highs. Since July, Russia has operated under a self-imposed diesel export ban following months of punishing attacks on their refineries from Ukrainian drones.
Those attacks have continued through recent days, but Russia is beginning to lift its restrictions on diesel exports immediately, ahead of schedule, Tass reported citing Alexander Novak, the nation's deputy prime minister responsible for energy. The Trump-Putin agreement has drawn the ire of Ukrainian President Volodymyr Zelenskyy.
Russian attacks on Ukraine have killed dozens in just recent days, European Commission President Ursula von der Leyen said in a post on X earlier Friday. Kyiv has been facing blackouts, with hospitals and schools among Russian targets.
"Gifts to Putin will not bring peace or any benefit to the civilized world," Zelenskyy said in a post on X. "Russia will 'repay' the diesel with further terror and perfidy.
Allowing Russia to sell petroleum products is an investment in a war that must be ended, not prolonged." European allies pushed back on the move.
Germany "remains committed to the sanctions imposed on Russia and is working with its European partners on further sanctions," a German federal government spokesman said in a statement. "Support for Ukraine in its defensive struggle remains unwavering." The UK said it will continue working with international partners to ensure Ukraine has the military and financial support it needs to defend itself.
US Senate Democratic leader Chuck Schumer also criticized Trump's decision. "Trump is doing a deal with the devil to try to help his flailing political fortunes from the shockingly high diesel prices," Schumer said in a post on X.
While the US leader has previously called upon Ukraine to halt its attacks on Russian oil infrastructure, the country has instead intensified its strikes on Russian oil assets in a bid to curb the Kremlin's war chest.