Trump Sanctions Rosneft, Lukoil; EU Adds Measures

President Donald Trump abruptly imposed sanctions on Russia’s two largest oil companies, Rosneft and Lukoil, froze their U.S. assets and called off a planned summit with Vladimir Putin. The move was coordinated with an EU 19th sanctions package targeting Russian energy revenues that includes an LNG import ban (short-term contracts ending in six months, long-term contracts barred from Jan. 1, 2027), sanctions on 117 additional “shadow fleet” vessels, and measures aimed at refineries and traders accused of enabling Russia’s energy trade. U.S. and EU officials warned the measures could trigger secondary penalties on refineries and banks in major buyer countries and significantly disrupt global oil flows. Global oil prices jumped roughly 3–5% and OPEC ministers signalled they stood ready to raise output as buyers in China and India looked to divert purchases. Ukrainian President Volodymyr Zelensky urged EU leaders to approve using frozen Russian central-bank assets to fund a €140 billion loan for Kyiv, but the proposal faces legal and political objections — notably from Belgium, which holds much of the assets. Moscow denounced the measures, vowed a “painful response,” and ongoing fighting and enforcement gaps mean the ultimate economic and strategic impact remains uncertain.