Economic War Escalates: US Targets Russia’s Top Two Oil Firms

The Trump administration has sharply escalated its economic war against Russia, imposing sanctions on the nation’s two largest oil companies, Rosneft and Lukoil. This move is the most direct attempt yet to cut off the revenue funding Vladimir Putin’s war in Ukraine.
This action represents a new phase in the administration’s policy, which has swung from pressuring Ukraine to negotiating with Putin. The apparent failure of negotiations, which officials attribute to Putin’s “maximalist demands,” has now led to this hardened stance.
Treasury Secretary Scott Bessent announced the measures, stating, “Now is the time to stop the killing.” He warned that “Treasury is prepared to take further action if necessary” if Putin refuses to end the “senseless war.”
President Trump reinforced the administration’s new toughness by confirming the cancellation of his planned summit with Putin. “It didn’t feel like we were going to get to the place we have to get,” Trump said, signaling a breakdown in talks.
The US sanctions come as the EU prepares its 19th package of restrictions, which will reportedly include a ban on Russian LNG and target the “shadow fleet” of tankers used to skirt existing oil caps. European Commission President Ursula von der Leyen praised the US move as a “clear signal” of transatlantic unity.