“Trump’s diesel agreement with Putin accused of contradicting Russia sanctions law”
What actually happened
President Donald Trump's Friday announcement that Russia will supply diesel fuel to the global market marked an apparent pivot from recent efforts to pressure Moscow by targeting Russian energy exports, three weeks after he signed the Lindsey O. Graham Sanctioning Russia and Iran Act of 2026. The Treasury Department's OFAC issued a temporary general license permitting the trade, and commentators across the political spectrum, including Republican Rep. Michael McCaul, publicly questioned whether the move undercuts the sanctions law Congress just passed.
Key facts
- Treasury confirms: "Today, at President Trump's direction, the Office of Foreign Assets Control (OFAC) is immediately issuing a temporary general license to allow the supply of Russian diesel to the global market."
- The license is General License 135, running until 12:01 a.m. EDT on April 7, 2027, and covers sale, delivery, offloading and importation of Russian-origin diesel, including into the US, per OFAC filings corroborated by multiple outlets.
- The Graham Act, signed September 18, 2026 (three weeks before the diesel deal), empowers Trump to impose tariffs up to 100% on top buyers of Russian crude oil or gas.
- Volumes announced by Trump: over 300,000 tons immediately, 500,000 tons in November, 1 million tons "immediately thereafter," and up to 3 million more depending on refinery conditions.
- Cross-party criticism is on record: Sen. Richard Blumenthal (D-Conn.) called it "directly contrary to Congress's intent," while Rep. Michael McCaul (R-Texas), who backed the sanctions bill, voiced concern the move "will only fund the Kremlin's war machine."
What to watch for
Watch whether the April 7, 2027 license expiry becomes a quiet renewal rather than a true "temporary" measure, and whether Congress attempts to use Graham Act tariff powers against buyers of this now-licensed diesel, a move that would test whether the law's "intent" argument has teeth. Also watch diesel price data in the coming weeks to see if Trump's promised relief materialises, since no price reaction had been confirmed at time of reporting.
