Russia to ship diesel to US markets after Trump-Putin call
A temporary Treasury license now lets Russian diesel reach buyers until April 7, a sanctions carve-out that drew a sharp rebuke from Ukraine’s president.
By
Priya Raman
After a phone call with Vladimir Putin, Donald Trump announced on Oct. 9 that Moscow had consented to ship millions of tons of diesel to buyers in the United States and around the world.
In brief
- 9 that Moscow had consented to ship millions of tons of diesel to buyers in the United States and around the world.
- 3 congressional elections, which will decide control of Congress, Global News reported.
- 31, citing problems in its domestic fuel market.
The announcement, posted on Truth Social, cuts across a sanctions regime Washington built against Russian energy companies after Moscow’s invasion of Ukraine in February 2022. To make the shipments legal, the Treasury Department opened a temporary exemption, and the move landed while Ukrainian negotiators were holding talks with U.S. officials in Florida.
Volumes promised and the license behind them
Trump laid out a staged schedule in his post: “Russia will immediately supply over 300,000 Tons of Diesel Fuel to the American and Global Marketplace, another 500,000 Tons during the month of November, and 1,000,000 Tons immediately thereafter,” the president wrote. He added that additional volumes would come later, depending on the state of Russian refineries, which have been hit by attacks during the war in Ukraine.
| Stage | Volume announced by Trump |
|---|---|
| Immediately | More than 300,000 tons |
| November | 500,000 tons |
| Right after that | 1,000,000 tons |
| Later | Further supply tied to refinery condition |
The Treasury said its Office of Foreign Assets Control was issuing a temporary general license so Russian diesel could reach the world market, according to the Kyiv Independent. The license, issued on Friday, permits imports of Russian diesel until April 7 next year.
Moscow’s side of the call matched Trump’s account. The Kremlin said Russia had confirmed during the conversation that it was willing to supply oil and petroleum products to the U.S. and other markets, and Putin’s envoy Kirill Dmitriev praised bilateral energy cooperation in a post on X soon after the call ended.
A sanctions exception at a moment of price pressure
Diesel sits near record highs as voters prepare for the Nov. 3 congressional elections, which will decide control of Congress, Global News reported. The Russian deal follows two earlier attempts by the White House to ease supply: pressing allies to release emergency reserves and widening access to tax-exempt red-dyed diesel, normally reserved for farm machinery.
“Lower prices for Americans, especially our Great Farmers, Ranchers, and Truckers, is my Greatest Priority,” Trump said. He also predicted that gasoline would soon drop to roughly $1.85 to $1.95 a gallon, an expectation he did not support with figures.
More measures may follow. Three industry sources said Trump would soon instruct department heads to look for ways to control diesel prices, possibly through a presidential memo that invokes the Defense Production Act and sidesteps local and state rules.
Kyiv objects and a diplomat doubts the effect
Volodymyr Zelensky, Ukraine’s president, argued that the decision hands Russia extra revenue for its war. “This only fuels Putin and enables him to wage more war,” he said, calling it “a weak decision by our strong partners.” His negotiating team was in Florida for two days of talks with American officials at the time.
Zelensky said Ukraine would stop striking Russian refineries and oil sites if Moscow ended attacks on Ukrainian energy infrastructure, and that Kyiv had put that proposal to Washington. Russia, for its part, is seeking U.S. sanctions relief in talks on such an energy truce and wants to tie it to ceasefire arrangements in the Black Sea, the Kyiv Independent reported.
“This is very unlikely to have a real impact on prices but the symbolism will have a real impact.”
A European diplomat, speaking to the Kyiv Independent
The supply pledge also runs against Russia’s own recent policy. On Sept. 30, Moscow extended its ban on diesel exports by fuel producers through Oct. 31, citing problems in its domestic fuel market.
Featured image. Source: Pixabay. Credit: Freiheitsjunkie. License: Pixabay Content License.
