The Trump administration on Wednesday unveiled sweeping sanctions against Russia’s two largest oil companies, Rosneft and Lukoil, in its most aggressive move yet to pressure Moscow into halting its war in Ukraine.
The sanctions, which also target nearly three dozen subsidiaries, mark a sharp escalation after months of hesitation by President Donald Trump, who had long warned of punitive measures but stopped short of action.
“Now is the time to stop the killing and for an immediate ceasefire,” Treasury Secretary Scott Bessent said in a statement.
“Given President Putin’s refusal to end this senseless war, Treasury is sanctioning Russia’s two largest oil companies that fund the Kremlin’s war machine.”
Bessent described the measures as “one of the largest” sanction packages in recent years and suggested that Washington is ready to go further.
“Treasury is prepared to take further action if necessary to support President Trump’s effort to end yet another war,” he said.
The decision follows the breakdown of peace talks held in Alaska two months ago, where Trump reportedly walked out after accusing Russian negotiators of acting in bad faith.
“President Putin has not come to the table in an honest, forthright manner as we hoped,” Bessent told Fox Business earlier in the day.
The sanctions, which freeze U.S.-based assets and restrict global transactions involving the firms, are expected to ripple through global energy markets, given Rosneft’s and Lukoil’s vast international portfolios.
Trump’s administration has urged U.S. allies in Europe, the G7, and Australia to align with the measures. “These are sanctions, not secondary tariffs,” Bessent said.
“They’re substantial and powerful, and we expect our partners to follow suit.”
The Kremlin has yet to issue a formal response, but energy analysts warn the move could trigger retaliatory measures and further strain global oil supply chains.
