'Illegal, Ineffective': Trump Under Fire For Russia Oil Deal As Graham Act Deadline Nears

(MENAFN- IANS) Washington, Oct 15 (IANS) Indian-American Congressman Raja Krishnamoorthi stepped up attacks on President Donald Trump's deal to buy Russian diesel, even as Kremlin envoy Kirill Dmitriev defended it, days before a sanctions law deadline that could bring steep tariffs on major buyers of Russian oil such as India and China.

"Trump started an illegal war with Iran that sent fuel prices soaring. Now he's rewarding Putin with a Russian diesel deal while pressuring Ukraine to stop striking Russian oil facilities," Krishnamoorthi wrote on X on Wednesday (local time).

"Putin gets billions. Ukraine gets more Russian attacks. Americans get stuck with the bill," the Illinois Democrat added.

In a later post, he said the deal "would help bankroll Putin's war machine without meaningfully lowering fuel prices for Americans".

"It's illegal, ineffective, and no substitute for ending Trump's Iran war," he wrote.

Dmitriev, Russian President Vladimir Putin's special envoy for investment and economic cooperation, pushed back on X.

"All pragmatic world leaders who care about their people want affordable diesel, gas and oil, including from Russia," he wrote.

In another post, he attacked The Economist, saying it failed to mention "the 5 per cent decline in diesel prices from the deal, showcasing its benefits to US farmers, consumers and energy markets".

Dmitriev did not say how he arrived at the figure or over what period prices had fallen.

Opposition on Capitol Hill has grown. Senator Richard Blumenthal, a Connecticut Democrat, said he was "leading 12 of my colleagues demanding that Trump rescind the disastrous Russian diesel deal".

"It betrays American security interests & brave Ukrainians fighting Putin's bloody slaughter," he wrote.

Representative James Clyburn of South Carolina called it "a mistake". "Trump's decision to ease sanctions on Russian diesel will do little to lower US fuel prices but a lot to fund Russia's war against our ally Ukraine," he wrote.

Representative Greg Stanton of Arizona said the plan was "likely illegal and unlikely to lower prices", adding that it would "funnel billions of dollars into Putin's Russia".

Representative Mike Levin of California called it "a lifeline for Russia's war machine", citing a New York Times estimate that around $4 billion of American money could flow into Russia's economy.

The Treasury's Office of Foreign Assets Control issued General License 135 on Friday, authorising transactions involving Russian-origin diesel until April 2027.

The dispute comes as the deadline under the Lindsey O. Graham Sanctioning Russia and Iran Act of 2026 approaches on October 18.

Section 113 of the law requires the President to raise duties to "up to 100 per cent" on goods from countries that were among the five largest importers of Russian crude oil or natural gas and that knowingly make new purchases after the deadline. The President can waive the duties by certifying to Congress that a waiver is in the US national interest.

The administration has not said publicly how it will apply the law.

New Delhi has long argued that it is held to a different standard from Western countries that continue to trade with Russia.

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