Trump says US to import Russian diesel, reversing pressure on Moscow
President Donald Trump announced that the United States will start importing large volumes of Russian diesel fuel after a deal with President Vladimir Putin, a sharp reversal of previous U.S. policy aimed at lowering fuel prices ahead of the November 3 midterm elections.
WASHINGTON – President Donald Trump said the United States will begin importing significant amounts of diesel fuel from Russia after an agreement reached with President Vladimir Putin, an extraordinary reversal of U.S. policy that lifts sanctions on Moscow in a bid to lower fuel prices before the midterms.
The move, announced less than one month before the Nov. 3 midterm election, comes as high fuel prices caused by the war in Iran pose major liabilities for Trump and Republicans as they try to hold onto power in Congress. The agreement upends years of U.S. efforts to cut off Russian energy from the global markets after Putin's 2022 invasion of Ukraine.
Trump said Russia will supply the U.S. and global marketplaces with 300,000 tons of diesel fuel "immediately" and an additional 1 million tons in November. He said Russia will then deliver 3 million tons of diesel fuel "within a short period of time," though he suggested it will be based on the condition of Russian diesel refineries.
"Lower prices for Americans, especially our Great Farmers, Ranchers, and Truckers, is my Greatest Priority. This is a very big and important announcement," Trump said in an Oct. 9 post on Truth Social after what he described as a "highly successful discussion" with Putin.
The Treasury Department said it is temporarily lifting Russian oil sanctions through April 7, 2027, according to a notice posted by the administration.
The Kremlin confirmed the deal with Trump, saying in a statement that the "Russian side reaffirmed its readiness to supply oil and petroleum products to U.S. and global markets." Yet the full terms of the deal were not immediately clear.
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During their conversation, Putin told Trump that he was “confident that this will have a positive impact on the global economy as a whole,” according to the Kremlin’s readout of the call.
Will Russian deal result in lower diesel prices?
The stunning announcement comes just weeks after Trump signed a major Russia sanctions package ‒ legislation named after the late Republican Sen. Lindsey Graham of South Carolina ‒ that was meant to suffocate the Russian economy that is financing the country's war against Ukraine.
The average price for a gallon of diesel fuel has shot up to $6.23 nationally amid the U.S. war with Iran, presenting major challenges to farmers in the Midwest and states such as Alaska, which rely heavily on diesel for electricity and heating in remote areas. Deep red Alaska, as well as Iowa, Kansas and Nebraska, have become surprising battlegrounds in the midterms.
But energy experts expressed doubts that Trump's policy will significantly lower diesel costs before the November election.
Rebecca Babin, a senior energy trader at CIBC Private Wealth, said the deal would mean 400,000 barrels of Russian diesel fuel if delivered over three months, but it would depend on refinery availability.
"For the midterms, it could still be too little, too late: The smallest volumes arrive upfront, when relief is needed most," Babin said.
Patrick De Haan, head of petroleum analysis for Gas Buddy, predicted that the agreement could result in a short-term reduction of 10 to 20 cents for a gallon of diesel. However, he said it will be "difficult to achieve" Trump's import goals.
"The psychological impact may reduce prices temporarily but it’ll take more time to determine if Russia has such ability," De Haan said in a post on X.
'Plays into Russia's hands,' Zelenskyy tells Trump
The deal gives Putin an economic lifeline as Russia's economy remains under significant strain amid the war in Ukraine.
Since returning to the White House for a second term, Trump has pinned equal blame on Ukrainian President Volodymyr Zelenskyy and Putin for the Russian-Ukraine war. He's met in person with both leaders and communicates with them regularly, but has failed to reach a deal to end the nearly five-year war. In recent weeks, Trump has complained to Zelenskyy about Ukrainian strikes against Russian energy infrastructure.
Zelenskyy, in a statement after Trump announced his deal with Putin, slammed Trump's decision to lift sanctions.
"Any easing of sanctions against Russia without a clear and lasting de-escalation agreement with Russia is an obvious weakness," Zeleneskyy said. "It plays into Russia’s hands – allowing it to kill more, wage war for longer, have even less respect for America, and inflict even greater losses and damage on the world."
The Biden administration banned Russian oil imports after Putin's full-scale invasion of Ukraine in 2022. The Trump administration temporarily eased those sanctions earlier this year after energy prices skyrocketed after the start of the U.S. war against Iran.
The agreement on Russian diesel could face strong opposition from allies in Europe, where countries have maintained sanctions on Russian oil imports despite enduring significantly higher fuel prices. The average price of a gallon of diesel in the European Union was $9.12, according to data from the commission.
A spokesperson for the European Commission did not immediately respond to a request for comment.
Trump's diesel deal with Putin adds to a series of unprecedented and extraordinary actions he has taken to try to boost Republicans' chances in the midterm election, which is increasingly showing signs of a sizable blue wave for Democrats.
Trump this year led a rare mid-decade redistricting push to create more Republican House seats. He's spent more than $12 million in government funds to air pro-Trump television ads, issued $500 Affordable Care Act refund checks to nearly 1 million Americans, and sent $90 apiece to 1 million seniors by diverting funds from a Medicare fund reserved for improvements to the program.
Trump has also not ruled out declaring a national emergency or invoking the Insurrection Act around the midterms. And in recent remarks, the president teased that he has "big surprises" in the coming weeks involving Russell Vought, the director of the Office of Management and Budget, and one of his closest top aides.
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