Washington Loosens Russia Sanctions for a Diesel Promise
OFAC has authorized transactions involving Russian-origin diesel through April 2027. The first volume Donald Trump announced remains a promise, not a delivered shipment, and the license cannot guarantee cheaper fuel at the pump.
Washington has moved from sanctioning Russian energy to permitting a defined class of diesel transactions. On October 9, the Treasury Department's Office of Foreign Assets Control issued Russia-related General License 135. It authorizes transactions otherwise prohibited under two US sanctions regulations when tied to the sale, delivery, offloading or importation of Russian-origin diesel, including imports into the United States. It expires at 12:01 a.m. Eastern daylight time on April 7, 2027. The license leaves in place restrictions on debits to accounts of Russia's central bank, National Wealth Fund and Finance Ministry at US financial institutions. Its text sets no volume cap.
President Donald Trump said Russia would supply more than 300,000 tons immediately, 500,000 in November and another million thereafter. He said a further 3 million tons depended on the condition of Russian refineries. The post is an announcement, not a delivery record. The White House did not immediately say who would pay or when the fuel would be available, according to the Associated Press. The license also does not lift Russia sanctions generally. It covers a defined set of transactions involving Russian-origin diesel.
Cheap fuel does not come from a headline or a conditional promise.
From the analysisReuters puts the first announced tranche at about 2.25 million barrels. US diesel exports run at roughly 1.5 million barrels a day, making the promised opening volume equivalent to about a day and a half of exports. That is a useful scale comparison, not proof of what US consumers will receive. Diesel futures fell nearly 5% after the announcement, while the average US pump price stood at $6.28 a gallon on Thursday, Reuters reported. Analysts told Reuters the agreement was unlikely to keep prices lower for long.
The move exposes a hard tradeoff. Sanctions are meant to deny the Kremlin energy income for its war on Ukraine, yet high fuel prices have made Washington willing to reopen a narrow route for Russian diesel. That may add supply if the fuel actually moves. The timing and payment remain unclear, and Russia's refinery capacity is part of the condition Trump himself attached to the larger promise. A license is permission to trade, not evidence that the promised barrels have arrived.
Cheap fuel does not come from a headline or a conditional promise. Durable affordability requires reliable supply and predictable rules for investment, so each price spike does not trigger a fresh presidential carve-out. Washington should publish what is delivered under this license and keep its scope clear, while making it easier to build and maintain productive energy infrastructure at home. If the goal is lower prices, judge the policy by fuel delivered and prices paid, not by the size of an announcement.
Sources
- U.S. Department of the Treasury, Office of Foreign Assets Control, Russia-related General License No. 135, October 9, 2026
- U.S. Department of the Treasury, Issuance of Russia-related General License, October 9, 2026
- President Donald J. Trump, Truth Social post, October 9, 2026
- Reuters, Trump says Russia to supply diesel to US and global markets, October 9, 2026
- Associated Press via NPR, Trump says U.S. to get diesel from Russia, relaxing pressure on Moscow to ease prices before midterms, October 9, 2026
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