Donald Trump has decided not to impose new sanctions on Russia mandated by a sweeping law passed by Congress last month. In an executive order issued late on Friday, Trump invoked a waiver in the law that gives him broad authority not to impose new economic penalties on Moscow over its war in Ukraine if he believes it is in the national interest. "I am hereby waiving the application of such sanctions, restrictions, and duties provided for in the Graham Act," the order stated. It did not explain why Trump opted not to enact the legislation he signed.
The decision comes as the administration has lifted sanctions on Russian diesel in a bid to tame energy prices ahead of the midterm elections next month, and amid deteriorating relations with Ukraine. The Lindsey O Graham Sanctioning Russia and Iran Act mandates sanctions on Russia's defence and energy sectors as well as its shadow fleet of ageing oil tankers. It also gave the president powers to impose tariffs of up to 100 per cent on countries that continue to buy Russian oil and gas. The provision divided Democrats, who feared Trump could use those tariff powers to penalise allies.
Elizabeth Warren, the top Democrat on the Senate banking committee, said: "By waiving these sanctions, Trump is thumbing his nose at Congress's direction that he ratchet up pressure on the Kremlin." The move comes as relations between Washington and Kyiv are once again in turmoil. Trump has leaned heavily on Volodymyr Zelenskyy to stop striking Russian oil refineries, while Russia has continued bombarding civilian and energy infrastructure, killing more than 100 civilians over the past week.
Kyiv has also been left blindsided by unexplained lapses in intelligence about incoming missile strikes, along with restrictions on Elon Musk's Starlink systems used by Ukraine's drone units. Trump has denied that the US has stopped sharing intelligence with Ukraine. In an interview with the FT, Zelenskyy pledged to resume attacks on Russian oil refineries and criticised Washington's eagerness to strike business deals with Moscow.
Source: Financial Times Companies · Summarized by HeadlinesBriefing