Russian Oil Company Is Managing To Keep Service Stations Open Following Trump's Sanctions Waiver

The U.S. Treasury Department extended a sanctions waiver that allows Russian oil company Lukoil to keep its service stations open.

The waiver applies to Lukoil service stations outside the Russian Federation and extends the timeline through April 24, 2027. The waiver had been scheduled to end later this month.

The waiver extension comes after President Donald Trump recently announced that he had struck a deal with Russian counterpart Vladimir Putin for diesel fuel. That deal also involved the loosening of sanctions on Russia. Trump said that Russia would "immediately" supply 300,000 tons of diesel fuel and then deliver another 500,000 tons in November.

"Between our TOTAL CONTROL of the Strait of Hormuz, and this great announcement on Russian Energy, Diesel Prices for Americans and, indeed, the World, will be COMING DOWN, IN RECORD NUMBERS, AND FAST!" Trump claimed in the October 9 social media post.

As part of that deal, the Treasury Department effectively lifted sanctions and allowed Russia to sell diesel fuel to the U.S. through April 7, 2027. Economic sanctions had been implemented against Russia to put pressure on Putin to end the war with Ukraine and hinder Russia's capacity to continue waging the war.

Trump's announcement and the corresponding action by the Treasury Department have drawn bipartisan criticism from Congress.

"We urge the Administration to revoke this license and not issue further general licenses that reopen Russian energy transactions and restore revenue to the Kremlin's war chest," a letter signed by several members of Congress states. "Putin has repeatedly shown that he responds to pressure, not goodwill."

Among the signees were Republican Reps. Don Bacon of Nebraska, Brian Fitzpatrick of Pennsylvania, Michael McCaul of Texas, Dan Newhouse of Washington and Joe Wilson of South Carolina.

Several Republican Senators have also criticized the deal and the administration's recent approach to sanctions. In a statement, members of the Senate Foreign Relations Committee wrote that the deal would do little to alleviate relatively high diesel prices in the U.S., but would help Putin's war effort against Ukraine.

"The United States should not provide Putin with a financial lifeline while Russia continues to kill Ukrainian civilians. The Administration must immediately reverse course," the Senators stated.

"Congress explicitly banned Russian energy imports in 2022 to prevent American dollars from financing Putin's brutal war against Ukraine. Congress was clear: the U.S. should not import oil from Russia until it ends its aggression against Ukraine and ceases threats against our NATO Allies," it read.

Republicans on the committee who issued the statement along with Democrats include Susan Collins (R-ME), Lisa Murkowski (R-AK), Thom Tillis (R-NC) and John Curtis (R-UT). According to The Hill, other Republican senators have voiced support for the statement, including Kentucky's Mitch McConnell.

"President Trump's decision to allow Russian diesel imports to the U.S. runs directly counter to that law. The Administration has also failed to consult with Congress or submit any explanation to justify its decision as required by statute," the statement read.