US sanctions Russian oil companies Rosneft, Lukoil

As his frustration with Russian President Vladimir Putin grows over the war, U.S. president Donald Trump imposed sanctions against Russia on Wednesday for the first times in his second term. He targeted oil companies Lukoil & Rosneft.

The U.S. Treasury Department announced that it was ready to take additional action, as it called upon Moscow to immediately agree to a ceasefire during Russia's conflict in Ukraine which began in February 2020.

Treasury Secretary Scott Bessent stated in a press release that "given President Putin's unwillingness to end this senseless conflict, Treasury sanctions Russia's largest oil companies who fund the Kremlin war machine." "We urge our allies join us and adhere to these sanction."

Trump has made a significant policy shift by imposing sanctions against Russia. He had previously not sanctioned Russia for the war, but instead used trade measures. Trump imposed an additional 25% tariff on goods coming from India as a retaliation to it buying discounted Russian oil.

Trump has not imposed similar measures on China, a major buyer of Russian crude oil. The $60 price cap imposed on Russian oil by Western countries following Russia's invasion has caused Russia's oil buyers to shift from Europe to Asia in recent years.

Trump's action on Wednesday follows the British sanctions against Rosneft & Lukoil, which were imposed last week.

The Russian embassy and Russian mission at the United Nations, both in New York, did not respond immediately to requests for comments on the sanctions. Reporting by Timothy Gardner Jasper Ward Kanishka Singh, Daphne Paledakis Ismail Shakil, Michelle Nichols and Leslie Adler; Editing and Daniel Wallis Leslie Adler

(source: Reuters)