Trump Turns the Table on Putin Again

The United States has announced a new package of sanctions against the Russian oil industry, directly targeting Rosneft and Lukoil, considered major sources of financing for the Kremlin's war effort. The decision was announced by US Treasury Secretary Scott Bessent, who explained that the measure comes in the context of President Vladimir Putin's refusal to seriously engage in peace negotiations regarding the conflict in Ukraine. "In the face of President Putin's refusal to stop this senseless war, the Treasury Department is imposing sanctions on the two most important oil companies that finance the Kremlin's war machine," Bessent said, quoted by AFP. He stated that the Treasury Department "is prepared to go further, if necessary", while also urging US allies to join these economic measures.

• Trump-Putin summit canceled amid diplomatic stalemate

The decision to sanction Russia followed the unexpected cancellation of a summit between US President Donald Trump and his Russian counterpart Vladimir Putin, which was scheduled to take place in Budapest, Hungary. "We canceled the meeting with President Putin. It didn't seem right to me. It didn't seem right to me to have a meeting with Vladimir Putin, and so I canceled it,” Trump said at the White House, according to Fox Business. The US president said he "felt it was time to impose huge sanctions on Russia,” but added that he hoped they "wouldn't stay in place for too long.” Trump also acknowledged frustration with the lack of progress in negotiations with Moscow. "Every time I talk to Vladimir, we have good conversations, but then they don't go anywhere,” the US leader said during a meeting with Dutch Prime Minister Mark Rutte at the White House.

• Markets react immediately

The sanctions announcement had a rapid impact on energy markets, with oil prices rising by about 1.5% in late trading on Wednesday. Although the Kremlin announced that "preparations for the Trump-Putin meeting continue,” Russian administration spokesmen acknowledged that the process is "difficult” and that the bilateral dialogue faces "significant obstacles.” The measure taken by Washington comes at a time when the European Union is finalizing its 19th package of sanctions against Moscow, the main provision of which aims to completely ban Russian natural gas imports by 2027, according to diplomatic sources cited by Reuters. The proposal, presented by the European Commission, received broad consensus at the meeting of European energy ministers in Luxembourg, despite opposition from Slovakia and Hungary, member states dependent on Russian hydrocarbons. The formal adoption of the sanctions package took place yesterday, ahead of the EU summit with Ukrainian President Volodymyr Zelensky, held in Brussels.

• Trump: "Europe must move into high gear”

In several public interventions, Donald Trump has criticized Europe's energy dependence on Russia, considering it "incoherent and dangerous”. "Europe must move into high gear. They cannot continue to act as they are currently doing. They are buying oil and natural gas from Russia, while they are in conflict with this country. It is embarrassing for them”, declared the American president in September. With the new sanctions imposed and the cancellation of the bilateral summit, relations between the United States and Russia reach a new level of tension, marking a temporary rupture in direct diplomatic dialogue. Although the Trump administration insists that the door to negotiations remains open, the message sent by Washington is clear: without real progress towards peace, the economic costs for the Kremlin will continue to increase.

India could reduce Russian oil imports

The United States and India are close to signing a major trade deal that could include a significant reduction in US tariffs on Indian exports in exchange for New Delhi limiting its purchases of Russian oil, according to the Mint publication, cited by CNBC. Sources cited by Indian media say that Washington could reduce customs duties on Indian exports from 50% to about 15-16% as part of the new agreement. At the same time, India could increase the import quota for non-GM corn from the US, maintaining a 15% duty, and propose a mechanism through which the two countries can periodically renegotiate tariffs and market access. US President Donald Trump said that Indian Prime Minister Narendra Modi had told him in a phone call that India would "significantly reduce" its purchases of Russian oil. "He won't buy much oil from Russia. He wants the war to end as quickly as possible." much like me,” Trump said, adding that India could face "massive tariffs” if it did not meet its commitment. However, India's foreign ministry later said it was not aware of any such talks, reiterating that India's energy policy "is guided solely by protecting the interests of the Indian consumer in a volatile energy environment.”

Narendra Modi announced that he would skip the ASEAN summit in Kuala Lumpur, thus missing a possible meeting with US President Donald Trump.

Trade relations between the two countries have deteriorated in recent months after Trump imposed a 25% surcharge on Indian exports in August as a penalty for continued purchases of Russian oil, raising the total level of tariffs to 50%. India, which has become the second-largest buyer of Russian oil after China, importing about 1.6 million barrels per day in the first half of the year, insists that a sudden halt to imports would require "a comprehensive plan” to stabilizing the energy market.

Former president Dmitry Medvedev, now Deputy Chairman of Russia's Security Council and a long-time ally of Vladimir Putin, stated that the United States is Russia's "adversary”, adding ironically that the "peacemaker” Donald Trump "has now fully embarked on the path of war against Russia,” after Washington decided to impose sanctions on Russia's two main oil companies, Rosneft and Lukoil, Sky News reports.

"If any of the many commentators still had illusions, here it is: the United States is our adversary, and their talkative "peacemaker' has now fully embarked on the path of war against Russia. Yes, he does not always actively fight on the side of Bandera's Kyiv, but this is his conflict now, not that of the senile Biden!” Medvedev wrote on Telegram.

"Of course, they will say he had no choice and was pressured by Congress, etc. But that doesn't change the essence: the decisions taken are an act of war against Russia. And now Trump is fully aligned with the lunatics of Europe,” Medvedev added.

Medvedev also said that Russia's path to victory is to destroy Ukraine rather than engage in "meaningless agreements.”

In a more diplomatic tone, the Russian Ministry of Foreign Affairs called the new U.S. sanctions "counterproductive” to achieving peace in Ukraine. Foreign Ministry spokeswoman Maria Zakharova told reporters that if the Trump administration follows in the footsteps of its predecessors, "it will end in failure.”

"Our country has developed a strong immunity to Western restrictions and will continue to confidently build up its economic potential, including in the energy sector,” she added.

These were Moscow's first reactions after Donald Trump imposed sanctions on Russia's two largest oil companies.