Trump says Russia to supply diesel to US amid criticism

President Trump announced that Russia would supply more than 300,000 metric tonnes of diesel to US and global markets, equivalent to approximately 2.25 million barrels of fuel. This move comes amid rising diesel prices, which affect agriculture, heating, and trucking industries. The US lifted sanctions on Russian fuel exports following a highly successful discussion between Trump and Russian President Vladimir Putin.

US diesel futures fell almost 5% after the announcement, trading at $4.64 a gallon. However, analysts doubt that the deal will lead to sustained lower fuel prices, as Russia typically exports more diesel when its refinery fleet is not under attack. Trump's decision has drawn criticism from Ukrainian President Volodymyr Zelensky and US Republican Representative Don Bacon, who argue that it's an unworthy decision and rewards a dictator.

The US Treasury Department granted a license for Russian diesel imports until April 7. Despite recent efforts to boost fuel supplies, such as pressuring allies to release emergency reserves and expanding access to tax-exempt red-dyed diesel, diesel prices have remained high due to the wars in Iran and Ukraine.