Trump Halts New Russia Sanctions to Lower Fuel Prices Before Midterms

Key points

• Trump signed the Graham Act in September but waived key provisions via executive order on October 16, citing national interests.
• The suspended measures included tariffs on the top five importers of Russian oil and gas, primarily China and India, as well as sanctions on Russian banks and a 'shadow fleet' of tankers.
• The waiver follows a controversial deal to import Russian diesel, which Trump announced to lower fuel prices before the November midterm elections.
• A bipartisan group of 20 lawmakers urged Trump to respect the law, while critics in Congress called the waiver a betrayal of Ukraine and a concession to Vladimir Putin.
• Ukrainian President Volodymyr Zelensky criticized the move, stating it would allow cash to flow back to Russia, even as European leaders prepared a new 22nd package of sanctions against Moscow.

Background

The Lindsey O. Graham Sanctioning Russia and Iran Act was signed into law on September 19, 2026, following rare bipartisan support in Congress. The legislation was named after late Senator Lindsey Graham, a prominent Russia hawk who died in July 2026. Prior to the waiver, tensions had escalated over a Russian diesel deal announced in early October, which critics argued violated previous sanctions and contradicted the new law's intent to pressure the Kremlin.

How outlets are covering it

Outlets highlight different aspects of the fallout. BBC and NBC News focus on the legal mechanics of the waiver and the immediate congressional backlash, noting that the law required an unclassified report to Congress, which the White House claims was submitted. CNN emphasizes the broader diplomatic fallout, detailing the fracturing relationship between Trump and Zelensky, including disputes over intelligence sharing and Starlink restrictions. The Guardian provides specific details on the diesel deal, noting Trump’s claim that Russia would supply over 300,000 metric tons of diesel immediately, followed by larger shipments. While all sources agree on the waiver, they differ in emphasis: CNN and The Guardian stress the 'betrayal' of Ukraine and the 'surrender' to Putin, whereas NBC News frames the decision as a direct response to soaring diesel prices and midterm election pressures.

Why it matters

The waiver undermines a rare bipartisan legislative effort to financially pressure Russia and could prolong the war in Ukraine by providing Moscow with a financial lifeline. It also signals a shift in US foreign policy that prioritizes domestic energy costs over international sanctions, potentially weakening US alliances in Europe and altering the geopolitical balance in the lead-up to the November midterm elections.

What to watch

The waiver will remain in effect until the Trump administration determines that 'further action is appropriate.' European leaders are expected to implement a new 22nd package of sanctions against Russia. In the US, the midterm elections in November will test public support for Trump’s energy policies and his handling of the Ukraine conflict, while Senator Darline Graham will campaign on the Graham Act despite the administration’s decision to suspend it.