Trump Pursues Russian Diesel Deal as Energy Prices Pressure Economy

President Donald Trump has turned to Russia for help lowering US fuel prices ahead of midterm elections that will determine control of Congress, announcing a diesel supply deal with Russian President Vladimir Putin on Friday. The agreement would bring hundreds of thousands of tonnes of Russian diesel to the United States in the coming months, while escalating violence in the Middle East threatens to push global energy prices higher.

Trump also directed the US Treasury Department to suspend restrictions that prevented Russian diesel from being sold on global markets. However, diesel prices remain above $6 a gallon, despite falling below their record highs, leaving the administration under pressure to demonstrate tangible economic relief.

High energy costs have particularly frustrated voters in Midwestern agricultural states, where farmers depend on diesel to operate machinery and transport goods. Polls cited by the BBC indicate that Americans increasingly blame the Iran war for their economic difficulties, while Trump's overall approval and ratings on the economy and his handling of the conflict have declined sharply.

Trump promoted the diesel agreement on Truth Social as a way to deliver "lower prices for Americans," presenting the deal as part of his efforts to address energy costs.

Two days later, Trump announced an energy ceasefire agreement between Russia and Ukraine. Ukrainian President Volodymyr Zelensky said he had received no advance notice but that Ukraine would comply with the arrangement. Russia did not publicly respond, and Russian forces launched another wave of attacks on Ukrainian power plants on Sunday night.

Zelensky questioned whether the Russian president would honor the proposed arrangement after the latest attacks.

"It's clear that Putin does not read Truth Social," Zelensky said on Monday.

The Ukrainian leader also warned that his country would respond if Russian attacks on energy infrastructure continued during the winter.

"This winter, if Russia does not agree to an energy ceasefire, we will respond," Zelensky said.

The dispute adds to a strained relationship between Trump and Zelensky, as Ukrainian attacks on Russian oil infrastructure have contributed to international energy supply concerns. Trump has repeatedly criticized Ukraine over the continuing war, despite previously claiming that he could end the conflict quickly after returning to the White House.

Speaking to reporters at the White House on Saturday, Trump said Ukraine should replace its president. He also demanded that Zelensky halt attacks on Russian refineries.

"Zelensky better damn well stop," Trump said.

The Financial Times and CNN have reported that Washington threatened to suspend arms sales and intelligence sharing with Ukraine unless Zelensky stopped the refinery strikes. The reports have intensified concerns about the future of US support for Kyiv.

Terry Haines, founder of the independent think tank Pangaea Policy, told the BBC that Trump's approach reflects a longstanding pattern of confronting people who resist his demands.

"I think that the president has a decade long public record of lashing out of people who aren't doing what he wants, when and how he wants to do it," Haines said.

Trump's announcement of the proposed energy truce has also raised questions about whether he presented an agreement as settled before its terms were fully secured. The president has previously announced Middle East ceasefires and broader peace agreements prematurely, according to the BBC's analysis.

International reactions followed quickly. Canadian Prime Minister Mark Carney expressed "strong support" for the energy ceasefire but criticized the diesel agreement, arguing that it undermined European peace and stability while helping Russia finance its war against Ukraine.

Carney condemned the Russian invasion as an "illegal, unjustifiable war against Ukraine," according to the BBC.

In Washington, the diesel agreement also drew criticism from lawmakers in Trump's Republican Party. Four Republican senators joined Democrats in urging the president to reverse his decision, citing restrictions Congress enacted in 2022 on Russian energy imports.

The senators called on Trump to "immediately reverse course" in a letter addressing the policy change.

They also challenged the legality and purpose of allowing Russian fuel into the US market under the new arrangement.

"Congress explicitly banned Russian energy imports in 2022 to prevent American dollars from financing Putin's brutal war against Ukraine. President Trump's decision to allow Russian diesel imports to the US runs directly counter to that law," the senators wrote in a statement released Sunday.

Meanwhile, escalating violence in the Middle East threatens to create additional pressure on global energy markets. Houthi attacks in Saudi Arabia, including strikes on airports and energy infrastructure, killed at least 13 people over the weekend, raising concerns about a broader regional escalation.

Michael Ratney, a former US ambassador to Saudi Arabia, told the BBC that the attacks indicated a widening range of potential targets.

"This is the Houthis sending a message that it's not just military targets, it's not just energy infrastructure, they're going to strike at civilian airports that could kill a lot of people," Ratney said.

Ratney said the US-Iran war was a conflict that Arab nations in the region had not wanted and described the latest Houthi offensive as a foreseeable consequence. With Washington and Tehran locked in an extended standoff, additional hostilities could intensify regional instability and drive oil prices higher.

Ratney warned that the situation could deteriorate further before tensions ease.

"I do think it gets uglier before it really deescalates," Ratney said.

Trump has increasingly blamed Ukraine rather than the Middle East for global energy difficulties, pointing to increased oil tanker traffic through the Strait of Hormuz. The waterway had been effectively shut by the threat of Iranian military action, leaving international energy markets vulnerable to further disruptions.