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Trump Secures Putin Deal To Release Russian Diesel, Suspend Sanctions Ahead Of Midterms

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Trump says Putin will immediately supply over 300,000 tons of diesel to US and markets Additional deliveries include 500,000 tons in November and up to 1,000,000 tons thereafter

Trump Secures Putin Deal To Release Russian Diesel, Suspend Sanctions Ahead Of Midterms
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Diesel deal and sanctions

President Donald Trump said he reached an agreement with Russian President Vladimir Putin to allow Moscow to “immediately release” diesel to the US and globally, as the White House sought to address soaring fuel costs ahead of the midterm elections. Trump said Russia would supply 300,000 tonnes of diesel immediately, followed by 500,000 tonnes in November and another million after that, with a further three million tonnes “within a short period” depending on the condition of its refineries.

The US Treasury suspended sanctions on Russian diesel exports until 7 April 2027 as part of the deal, while other assets like those in American banks remained frozen. The Kremlin said Putin and Trump discussed “the prospects of resolving the Ukrainian crisis” and “the situation around Iran and various aspects of bilateral relations,” and Putin said Russia “confirmed its readiness to supply oil and petroleum products to the US market and global markets at large.”

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Image: ABC
Reporting for this sectionBBC

Zelensky attacks the pact

Ukrainian President Volodymyr Zelenskyy criticized the agreement, saying any easing of sanctions played into Moscow’s hands and would prolong the war. Zelenskyy wrote on social media, “Allowing Russia to sell petroleum products is an investment in a war that must be ended, not prolonged,” and he also said, “Gifts to Putin will not bring peace or any benefit to the civilized world.”

The White House asked for clarity on what Russia would get from the US in return for the commitment, while Trump’s announcement did not address sanctions or Russia’s war. The Kremlin said Putin told Trump that Russia was ready “to supply oil” to the US and world markets, and the Kremlin said the phone call lasted an hour and half and covered large-scale economic initiatives including Russian fuel supplies.

Image from Al Jazeera
Image: Al Jazeera
Reporting for this sectionBBCAl Jazeera

Fuel prices and political stakes

The average diesel price in the US was $6.28 a gallon, down from the record high of $6.53 at the end of September, as Trump pushed the deal as a way to lower costs. The latest effort from Trump to lower fuel prices came as he grappled with the political consequences of the Iran war, which began in February and sent petrol and diesel costs soaring.

Russia experienced two waves of severe fuel shortages due to Ukrainian drone strikes on Russian oil refineries, and it reported that Russia introduced a ban on diesel exports. The agreement opened Trump up to criticism from European allies and pro-Ukraine politicians in the US, and it said the impact on fuel prices remained unclear as the global benchmark for crude oil, Brent, remained above $103 a barrel.

Reporting for this sectionBBC