US imposes sanctions on Russia’s two largest oil companies, Rosneft and Lukoil

The United States announced on Wednesday evening that it was imposing sanctions on Russia’s two largest oil companies, Rosneft and Lukoil. The AFP, AP and Reuters news agencies reported the news. US Treasury Secretary Scott Bessent said Washington had taken this step because Russian President Vladimir Putin refuses to end the war against Ukraine, which the US secretary described as senseless. US President Donald Trump plans to discuss Russia and Ukraine with Chinese President Xi Jinping next week in South Korea.

“Now is the time to stop the killing and (the time) for an immediate ceasefire,” Bessent said in a statement.

“Given that President Putin refuses to end this senseless war, the Treasury Department is imposing sanctions on the two largest Russian oil companies that fund the Kremlin’s war machine,” the US Treasury secretary added.

He added that the department he leads is prepared to take further action if necessary to support Trump’s efforts to end Russia’s war against Ukraine. “We urge our allies to join us and comply with these sanctions,” Bessent added.

According to the AP, the latest US sanctions target not only Rosneft and Lukoil, but also dozens of their subsidiaries.

“These are huge sanctions, and we hope they won’t last long. We hope the war will end,” the AFP news agency quoted the White House chief as saying.

Trump also said on Wednesday evening, according to AFP, that President Xi could have “great influence” over Putin in resolving the conflict in Ukraine. According to Trump, the US and Chinese presidents are due to meet next week during the Asia-Pacific Economic Cooperation (APEC) summit in South Korea, where he wants to talk with Xi about Russia and Ukraine.

The US president also said he had cancelled a summit with his Russian counterpart planned for next week in Budapest because holding it no longer seemed right to him. His talks with Putin on ending the war in Ukraine are good, according to Trump, but ultimately lead nowhere, AFP reported.

Washington imposed sanctions on the Russian oil companies after months of pressure from both US political parties on Trump to impose tougher sanctions on Russia’s oil industry, the AP noted. The White House chief had delayed new sanctions against Russia in the hope of persuading Putin to make peace with Ukraine without them, according to AFP.

The Danish presidency of the European Union also announced on Wednesday evening that the way was clear for the adoption of the EU’s 19th package of sanctions against Russia, with no member state still objecting to the new retaliatory measures. The EU sanctions package, a response to Russia’s ongoing invasion of Ukraine, includes a range of measures in the energy and finance sectors, including a phased ban on imports of liquefied natural gas (LNG) from Russia. The package is expected to be approved this morning.