Donald Trump Latest News: President Donald Trump has waived key Russia-related sanctions and tariff requirements under the law named after the late Senator Lindsey Graham, just two days before the measures were scheduled to take effect on October 18. The decision comes as the US administration seeks to address rising diesel prices and pursue diplomatic negotiations with Russian President Vladimir Putin over the war in Ukraine.
The executive order, signed on Friday, suspends the law’s operative provisions concerning Russia, including proposed tariffs on Russian goods and penalties targeting foreign financial institutions and countries continuing to purchase Russian oil and gas. The move has drawn criticism from Ukrainian President Volodymyr Zelenskyy and several US lawmakers, while the White House has defended the decision as part of its efforts to negotiate a lasting peace agreement.
Donald Trump Latest News: Why Did Trump Waive Russia Sanctions?
According to the executive order, Trump informed Congress that the waivers were in the national interest, although the order did not provide further details explaining the decision.
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The law had been passed by Congress with substantial bipartisan support before Trump signed it last month. It was designed to increase economic pressure on Russia by targeting political officials, oligarchs, financial institutions and the network of tankers allegedly used to circumvent existing oil sanctions.
The legislation also gave the president the authority to waive its Russia-related provisions. Trump exercised that authority shortly before the new measures were due to take effect on October 18.
The latest decision marks the second time in as many weeks that Trump has eased restrictions affecting Russian oil or petroleum products, as his administration attempts to address fuel-market pressures while pursuing diplomatic engagement with Moscow.
Trump Waives Tariffs of Up to 500% on Russian Goods
The executive order waives the law’s operative Russia-related requirements, including provisions that would have required tariffs of up to 500% on Russian goods, including oil and gas.
It also suspends requirements for tariffs of up to 100% on the five largest buyers of Russian crude oil and natural gas that continue purchasing those supplies, as well as the five countries identified under the law as helping Russia evade oil sanctions.
These measures were intended to increase the economic costs for Russia and for countries continuing to trade in its energy products.
The waiver removes the immediate requirements to implement those penalties under the relevant provisions of the law. It does not, by itself, mean that every existing US sanction against Russia has been lifted.
Russia Sanctions Waiver: What Happens to Banks and Financial Restrictions?
The order also waives several financial restrictions included in the legislation. These provisions covered foreign banks conducting significant business with Russian state-owned banks and financial messaging services allegedly used to circumvent sanctions.
Other suspended requirements concerned purchases of Russian sovereign debt, US investment in Russia and transactions processed by US banks and brokers for the Russian government or for the benefit of Russian officials.
The order does not directly repeal the underlying law. Instead, it uses the waiver authority provided by the legislation to suspend its operative Russia-related requirements.
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