Trump deal for Russian diesel sparks anger in Ukraine, doubts among analysts

President Donald Trump announced that Russian President Vladimir Putin has agreed to put more Russian diesel onto world markets, part of the White House effort to lower energy costs before the midterm elections. Trump said more than 300,000 tons would flow immediately and another 500,000 tons in November, with additional volumes depending on the state of Russian refineries. Energy analysts doubt it will matter much, and Ukraine reacted angrily, according to CNN · MS NOW.

The combined volume equals 6 million barrels, roughly a day and a half of American consumption, according to the U.S. Energy Information Administration. Dan Pickering of Pickering Energy Partners estimated a possible 5-6% rise in supply by year end and called the deal politics rather than a game changer. Gregory Brew of Eurasia Group described it as a bandaid and suspected Putin expects Ukraine to halt strikes on Russian refineries in return. Diesel futures barely reacted on Friday. Moscow had banned diesel exports in early July after Ukrainian drone attacks caused shortages at home.

President Volodymyr Zelensky said the decision gives Russia money to keep fighting. He also objected to the timing, since Ukrainian officials were meeting Steve Witkoff and Jared Kushner in Miami when the call took place.

Summarized by PolitiKool from CNN · MS NOW’s reporting. Read the full story at CNN · MS NOW →