U.S. President Donald Trump said on Friday that Russia had agreed to immediately supply more than 300,000 tons of diesel to the U.S. and global marketplace in an effort aimed at cutting prices for the fuel ahead of the November midterm elections.
The move comes as prices of diesel, used in agriculture, heating homes and trucking goods, are near record highs ahead of the Nov. 3 congressional elections that will determine control of Congress.
Trump said in a post on social media he had a “highly successful” discussion with President Vladimir Putin in which they agreed that Russia will immediately supply the diesel.
An envoy for Putin, Kirill Dmitriev, praised cooperation between Russia and the United States on diesel and energy in a post on X on Friday, shortly after the call.
Trump said Russia would supply another 500,000 tons in November, and another 1,000,000 tons “immediately thereafter.” Even more would come after that, Trump said, “based on the condition of their diesel refineries” which have been damaged by attacks during Russia’s war on Ukraine.
The unusual move comes as the U.S. has imposed sanctions on Russia’s energy companies over its war on Ukraine that began in February 2022. The Treasury Department issued a general license on Friday allowing importation of Russian diesel until April 7 next year.
Diesel prices, which can drive inflation, are up 70 per cent since the US-Israeli war with Iran began this year, despite two high-profile recent moves by Trump to boost supplies of the fuel: pressuring allies to release emergency reserves and expanding access to tax-exempt red-dyed diesel, which is normally used for farm equipment.
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The wars in Iran and Ukraine have triggered an unprecedented global fuel supply crunch, pushing average US diesel prices to $6.28 a gallon on Thursday, according to the AAA motorist organization.
“Lower prices for Americans, especially our Great Farmers, Ranchers, and Truckers, is my Greatest Priority,” Trump said.
Three industry sources said earlier on Friday that Trump will issue a directive in coming days to some U.S. department heads to find ways to control prices of diesel.
The directive, which they said could take the form of a presidential memo, will push officials to find ways to bypass local and state regulations blocking energy production and use the Cold War-era Defense Production Act (DPA) to increase output of oil and fuel.
Under the DPA, the president has authorities allowing loans, or loan guarantees to expand domestic manufacturing of critical materials and to require companies to prioritize government contracts for essential goods.
The White House has been weighing how to use the DPA to expand refining capacity as the war with Iran exposes a U.S. vulnerability to supply disruptions and price spikes.
Refining executives told administration officials last month that federal money would be better directed toward making refineries more efficient or expanding existing plants rather than financing an entirely new refinery, which would be considerably more costly and take years to complete.
Trump also said he expected gasoline prices to fall soon to levels around $1.85 to $1.95, well below Friday’s average price of about $4.37 a gallon, according to AAA.
Seems to me that Trump has been desperate for a win for the last year, but everything has failed. Venezuelan oil, Belarussian potash, Korean investment in Alaska, the War on Iran, and Canada’s refusal to submit by accepting a trade deal on any terms. None have been the wins he wanted, so ge’s trying a diesel deal with Russia.
Trump and anyone that supports him should be be live streamed getting …
stupid old orange fool
All the worlds a stage. Trump is just another compromised muppet. Wars are thought up and brought on by the powers that ought not to be. Open up your eyes… anyone with any critical thinking skills can see that all of this is a fake show!
The volume of diesel being imported won’t move the needle on price. U.S. importers will buy at whatever price the Russians are offering and sell into the U.S. at the market price. Any diesel displaced by Russian diesel will probably be exported to third countries for sale at the market price. Win for importers if they buy at a lower price from Russia. Win for Russia because it can sell its diesel (assuming it has the capacity). Probably no win for U.S. consumers.
And what kind of weapons and bombs did USA supply Russia? Keep your commie diesel. F*ck you Trump. You need to be dead.
Too bad Canada has nothing to offer to the world except platitudes and virtue signalling.
This is bad news for the stock price.
From one dictator to another
It wouldn’t be because Russia would need the money would it ?
2 bum buddies
300,000 tons of diesel is approximately 2.24 million barrels of diesel. The USA consumes about 3-4 million barrels per day. So this is just to make Trump look good; that much diesel won’t even last a single day.
Two countries in a proxies make a deal. Meanwhile in Canada, we throw tantrums.
Donald Trump is not good at this.
Trump for all his flaws is doing something for his country. What is Carney doing for us? Working on an oil line? How long will that take?
War is bad, because it represents a breakdown of diplomacy that is costly and deadly.
But what Liberals hate, is Trump. They don’t care about people starving, dying, or being left homeless, they just want to stick to it to Trump.
You people are deranged.
No need in ‘knocking’ Carney about this, it’s just two buddies (Trump & Putin) helping each other out. Both are tyrants.
I mean, nothing’s forcing you to buy, it, though I bet you will.
Of course, all of the lefties are complaining because Democrats need people to be in despair to convince people to vote for them rather than attract them with good policy, and the Liberals have bet the economy on Trump losing power after the midterms.
…and he’s opening N. Korean tourists this summer. MAGA at work
Trump is a businessman.
Even Russia can get a deal…
Carney should take note…
Putin’s puppet said the Mexicans will pay for ‘The Wall’, promised $2,000 tariff ‘dividends,’ he would give American adults a $5,000 “dividend” if Republicans kept the House and Senate, stated he would not launch an attack against Iran prior to the November midterms, promised to lower gasoline prices below $2 a gallon, cut mortgage rates to 2%, Not one ever kept!
“The truth has no defense against a fool that is willing to believe a lie.”
American Communism at it’s best!!! Russia will Nuke the US any day now! But, don’t touch my Mara Lago!!
I mean, they are besties after all.
Oh, and let’s not forget the 4D space chess move of getting your industry dependent on cheap energy from Russia (including shutting down your perfectly good nuclear power plants) then provoking a war with them for the personal enrichment of crooked Joe Biden and his co-conspirators among the european vassals.
Its amazing how the war mongers in europe need to be taught for a third time to not be belligerent towards Russia. I guess the lessons of 1812/13 and 1945 have been long abandoned.
haha so many people will be triggered.
What is Carney doing?
Taxing Canadians…thats what. The higher the cost of fuel, the more money they get to launder all over the world.