US President Donald Trump’s decision to ease sanctions on Russian diesel imports in an effort to bring down fuel prices has triggered bipartisan criticism, highlighting the tension between domestic economic pressures and Washington’s efforts to curb Moscow’s revenues from its war against Ukraine.
Trump defended the move on Monday, arguing that European countries had continued to pay Russia substantial sums for energy.
The announcement followed a conversation with Russian President Vladimir Putin, after which Trump said Russia had agreed to supply diesel to the US and global markets.
The decision has drawn objections from lawmakers in both parties, who warn that relaxing restrictions could undermine efforts to pressure Moscow over its invasion of Ukraine.
Ukrainian President Volodymyr Zelenskyy has also criticised the arrangement, arguing that additional Russian energy revenues could help sustain the war.
The controversy comes as US fuel prices surge amid disruptions linked to the war involving Iran, attacks on Russian energy infrastructure and tighter supplies of refined petroleum products.
Why is Trump turning to Russian diesel?
Trump announced the agreement on Friday after a discussion with Putin. Under the arrangement, Russia was expected to supply more than 300,000 metric tonnes of diesel to the US and global markets, with further shipments anticipated in the following months.
The move is intended to increase fuel availability at a time when rising diesel prices are putting pressure on the US economy amid inflation.
Trump defended his decision in a post on Truth Social, writing: “The European Union paid Russia 250 Billion Dollars for Energy, and the Fake News Media doesn't want to get near that story.”
“I made the right choice for the American People — ALWAYS, AMERICA FIRST!” he said in a post on Truth Social.
The decision also comes ahead of the US midterm elections on November 3, when fuel costs and inflation could influence voters’ assessments of the administration’s economic performance.
Fuel prices and inflation: Will the deal help Americans?
The average US diesel price reached $6.28 per gallon on Thursday, according to the American Automobile Association (AAA), after rising about 70% since the US-Israeli war against Iran began on February 28.
Higher diesel prices can feed into inflation by increasing costs for freight, food distribution, farming and manufacturing.
Businesses may pass some of these expenses on to consumers, making fuel prices an economic concern that extends well beyond the transport sector.
However, Reuters has reported questions about whether the Russian supplies would be sufficient to make a substantial difference to the market. An initial shipment of more than 300,000 tonnes would represent an addition to supply, but its impact would depend on delivery schedules, subsequent volumes and the extent of wider disruptions.
The Trump administration is also considering measures to boost domestic fuel production. Reuters reported that officials were exploring ways to address restrictions affecting energy output and potentially invoke the Cold War-era Defence Production Act to support domestic oil and fuel supplies.
Why are US lawmakers opposing the deal?
The arrangement has drawn criticism from Republican and Democratic lawmakers, who argue that easing restrictions on Russian fuel risks weakening Washington’s policy towards Moscow.
A bipartisan group of senators urged Trump to reverse the decision, arguing that it could conflict with measures introduced after Russia launched its full-scale invasion of Ukraine in February 2022.
“Congress explicitly banned Russian energy imports in 2022 to prevent American dollars from financing (Russian President Vladimir) Putin's brutal war against Ukraine,” the lawmakers said in a statement, according to Reuters.
Republican Senator Thom Tillis also questioned the legality of the arrangement, arguing that there was a case to be made that the president was not complying with the law.
The criticism highlights the tension between the administration’s immediate objective of lowering domestic fuel prices and its longer-term strategy of restricting Russian revenues.
What does the deal mean for sanctions on Russia?
Western sanctions have sought to limit Russia’s access to revenue and international markets following its invasion of Ukraine.
Easing restrictions on Russian diesel creates a potential contradiction in that strategy: Washington is seeking to increase fuel supplies while continuing to apply economic pressure on Russia over the war.
A limited, temporary exemption would have a different impact from a sustained reopening of the US market to Russian petroleum products.
The decision also raises questions about the consistency of US policy towards its allies.
Washington has previously sought to limit countries’ purchases of Russian energy, including by threatening additional tariffs on India over its energy ties with Moscow.
The diesel arrangement could therefore complicate Washington’s efforts to persuade other countries to restrict Russian energy purchases, particularly if the US itself relaxes restrictions to address domestic economic pressures.
Ukraine warns Russia could benefit from the arrangement
Zelenskyy has criticised the decision, arguing that allowing Russia to earn more from petroleum products could help finance its continued military campaign.
The announcement came as Ukrainian and US officials were holding discussions on efforts to resolve the war.
According to an Axios report, US envoys Steve Witkoff and Jared Kushner raised the prospect of lifting sanctions on Russian diesel during talks with Ukrainian negotiators in Miami.
The report also said Zelenskyy had offered to halt Ukrainian strikes on Russian oil refineries if Moscow stopped attacking Ukrainian power plants.
The conflict involving Iran has added pressure on global energy markets, with disruptions to shipments through the Strait of Hormuz—a critical route for international oil and petroleum product trade—contributing to concerns over supply and prices.
The Russian diesel arrangement is therefore an attempt to address a supply problem with both geopolitical and logistical dimensions.