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The United States has imposed new sanctions on Russia’s two largest oil companies, Rosneft and Lukoil, accusing Moscow of undermining peace efforts in Ukraine. The move comes as Russia conducts large-scale nuclear drills and amid the collapse of a planned summit between U.S. President Donald Trump and Russian President Vladimir Putin.
According to the U.S. Treasury Department, the sanctions aim to weaken Russia’s ability to finance its ongoing war in Ukraine. Treasury Secretary Scott Bessent emphasized the urgency of ending the violence, calling for an “immediate ceasefire.” Following the announcement, oil prices rose over $2 per barrel, reflecting heightened geopolitical tensions.
President Trump, who had previously delayed imposing energy sanctions, stated that he could no longer wait for Russia to demonstrate goodwill. However, he declined to send long-range Tomahawk missiles to Ukraine, citing a six-month training requirement. Ahead of a meeting with Chinese President Xi Jinping in South Korea, Trump expressed hope that Xi could leverage his influence to persuade Putin to halt the war.
In response, the Kremlin showcased its military might through videos of nuclear-capable missile launches, including intercontinental weapons. Russia’s Defense Ministry confirmed that Tu-22M3 bombers flew over the Baltic Sea, escorted by NATO fighters. Meanwhile, EU nations approved a 19th sanctions package, banning Russian liquefied natural gas imports.
Sweden also pledged support by signing an agreement to export Gripen fighter jets to Ukraine. President Volodymyr Zelenskiy announced plans to acquire up to 100 jets by next year to bolster Kyiv’s air defenses.
As diplomatic efforts stall, both sides continue intense missile exchanges. Trump cancelled the proposed summit, saying he didn’t want a “wasted meeting,” while Russia insists preparations are ongoing. European defense stocks rose following the news, as the EU debates using frozen Russian assets to fund a $163 billion loan to Ukraine, a plan Moscow has condemned as theft.
