What happened
President Donald Trump has announced a deal with Russian President Vladimir Putin to supply millions of tons of diesel fuel to the US and global market. The agreement comes just days before a new law imposing a 500% tariff on Russian goods is set to take effect. According to Trump, the first shipments of diesel will begin immediately, with larger deliveries scheduled for November and beyond.
The delivery schedule outlined by Trump includes an initial supply of over 300,000 tons of diesel fuel, followed by 500,000 tons in November, and 1,000,000 tons thereafter. Russia will also deliver up to 3,000,000 additional tons, depending on the condition of its refineries.
Trump tied the arrangement to US leverage in the Persian Gulf, where American forces have operated throughout the war with Iran. He also emphasized the potential benefits of the deal for American farmers, ranchers, and truckers, who will see lower diesel prices.
The announcement follows the signing of the Lindsey O. Graham Sanctioning Russia and Iran Act of 2026, which imposes tariffs of up to 500% on Russian goods and allows secondary sanctions on countries that purchase Russian fuel. However, the president has the authority to waive many of the law's provisions.
