Trump Reverses Course on Russia Sanctions in Weeks

In a striking policy reversal, President Donald Trump signed an executive order on October 17, 2026, waiving sweeping sanctions and tariffs targeting Russia's energy revenues — legislation he had signed into law just one month earlier [1]. The move, which suspends the newly enacted Lindsey Graham Act, has drawn sharp condemnation from Ukraine, unease across Europe, and celebration in Moscow.

The executive order stated plainly: "As described further in section 4 of this order, I am hereby waiving the application of such sanctions, restrictions, and duties provided for in the Graham Act" [1].

What the Graham Act Was Designed to Do

The Lindsey Graham Act — named after the late senator who championed it — was one of the most aggressive legislative tools the United States had assembled against Russia since the full-scale invasion of Ukraine [5]. The law granted Trump authority to impose tariffs of up to 100 percent on major buyers of Russian oil and gas, a provision explicitly designed to pressure large importers such as China and India [1].

Beyond energy, the act targeted Russia's defense sector, President Vladimir Putin and other senior Russian officials, and the so-called shadow fleet of tankers Moscow has used to circumvent existing Western sanctions [4]. Countries including China and India had previously raised concerns about the legislation: Beijing said it "consistently opposed long-arm jurisdiction that lacks a basis in international law," while India warned Washington that the new tariffs could damage bilateral ties [4].

The Deal Behind the Reversal

Trump's decision to waive the act follows a deal he struck with Putin in which Russia agreed to release large quantities of diesel onto global markets in exchange for US sanctions relief [1]. The arrangement effectively traded the threat of maximum economic pressure for a commodity agreement — a transaction critics say rewards rather than constrains Moscow.

The timing of the waiver drew particular attention. Trump signed the executive order on the same day Putin appeared in military uniform and told army leaders that capturing the rest of eastern Ukraine remains "one of the main objectives" of Russian forces [4]. "On the whole I see a positive trend in the operations of the troop groupings," Putin said [4].

Zelensky: 'Financial Rewards for Putin'

Ukrainian President Volodymyr Zelensky did not hold back. Speaking on social media, he said the Graham Act "was supposed to impose truly effective pressure on Russia to bring this war to an end" and warned that "a US sanctions blackout, easing pressure on the aggressor, financial rewards for Putin — all of this only encourages him to keep attacking" [4].

Zelensky also framed the waiver in terms of the approaching winter. Russia struck 15 critical power generation facilities across Ukraine on the same day Trump signed the order, in what Zelensky described as "one of the largest" attacks on Ukraine's energy grid [4]. "Russia is trying to leave millions of our people without electricity and heating," he said [4]. One person was killed in a strike on the southern city of Kherson and 22 others were wounded, including two children; a second person was killed in the northeastern city of Sumy [4].

Zelensky had traveled to Brussels the day before to rally European leaders at an EU summit, urging allies to continue financing Ukraine's defense and insisting he would not back down amid his public clash with Trump [4].

European and Congressional Pushback

European leaders closed ranks with Kyiv. European Council President Antonio Costa said at the Brussels summit: "This is no time to withdraw the support to Ukraine. This is no time to relieve Russia's sanctions. Now it is time to increase our support, to increase our pressure" [4].

On Capitol Hill, US Representative Don Beyer, a Virginia Democrat, accused Trump of capitulating. "Trump's latest surrender to Putin again betrays our Ukrainian partners and defies clear congressional intent of legislation designed to punish Russia for its illegal war of aggression," Beyer said in a statement [4].

Moscow Celebrates

Russian officials were openly jubilant. Kirill Dmitriev, a Putin envoy, called the waiver "an important and truly historic moment," arguing on social media that the Graham Act would have caused "serious damage first and foremost to the US economy and global markets" [4]. The Kremlin and Putin himself had not publicly responded as of the time of reporting [4].

Ukrainian Forces Resume Strikes on Russian Refineries

The diplomatic fallout has not remained confined to statements. Relations between Kyiv and Washington have deteriorated markedly since Trump struck his diesel deal with Putin, with Ukrainian forces resuming attacks on Russian oil refineries — a direct response to what Zelensky called a "weak decision" [1][5]. The resumption of those strikes signals that Ukraine is willing to take unilateral action to pressure Russia's energy infrastructure even as its main backer steps back from doing so through economic tools.

What to Watch Next

Several pressure points will define the coming weeks. Whether European allies move to independently tighten their own sanctions on Russia in response to Washington's retreat will be a key indicator of Western cohesion [4]. The condition of Ukraine's energy grid as winter sets in — already under assault — will test both civilian resilience and the political sustainability of reduced US pressure on Moscow. And on Capitol Hill, the question of whether Congress attempts to constrain Trump's waiver authority under the Graham Act, or pursues new legislative avenues, remains open. US-led peace talks have yet to produce a breakthrough, and with Putin publicly reaffirming his territorial ambitions, the gap between Washington's posture and Kyiv's survival needs has rarely looked wider [4].