Trump says he has struck a deal with Vladimir Putin to release Russian diesel to the US and global markets, with the Treasury suspending sanctions on such exports until April 7, 2027, a move Ukraine's president says plays into Moscow's hands

US President Donald Trump said on Friday that he had reached an agreement with Russian President Vladimir Putin under which Moscow would "immediately release" diesel to the United States and the wider world.

Trump predicted that the supplies would send prices "COMING DOWN, IN RECORD NUMBERS, AND FAST!"

According to Trump, Putin agreed to release 300,000 tonnes of diesel immediately, followed by 500,000 tonnes in November and a further million tonnes after that. Another three million tonnes would arrive "within a short period" afterwards, he said, depending on the condition of Russia's refineries, which Ukraine has attacked.

Russia reaffirmed its readiness to supply oil and petroleum products to the US and global markets, with Putin saying he is confident the move will have a positive impact on the entire global economy.

Sanctions relief and Treasury licence

Under the deal, the US Treasury is understood to be suspending sanctions on Russian diesel exports until April 7 2027, although other Russian assets, such as those held in American banks, remain frozen. Shortly after Trump's announcement, the Treasury formally issued a temporary licence permitting Russian diesel into the market.

Putin said later that he had discussed the global energy situation with Trump on Friday. "The Russian side confirmed its willingness to supply oil and petroleum products to the US market and global markets at large," he said in a statement. He did not specify any amounts.

Zelenskyy condemns easing of sanctions

Ukraine's President Volodymyr Zelenskyy criticised the decision, arguing that any easing of sanctions on Russia plays into Moscow's hands and would prolong the war between the two countries.

Friday's announcement is Trump's latest attempt to bring down fuel prices at home. He has spent months wrestling with the political fallout from the Iran war, which began in February and has pushed up global energy prices.

The conflict has driven the cost of petrol, and diesel in particular, sharply higher across America. Voters have felt the strain at the pump and in the wider inflation it has fuelled, and that has damaged Trump's standing with the public. According to AAA, the average US diesel price now stands at $6.28 (£4.74) a gallon, down from a record high of $6.53 at the end of September.