Trump waives new Russia sanctions as EU rejects moving frozen assets to US

A late-Friday US waiver suspended sweeping duties tied to Russia. EU leaders turned down a reported US idea to take some of the roughly 200 billion euros in immobilized Russian assets, which points to a widening transatlantic gap over how to pressure Moscow.

What happened

President Trump signed an executive order late on Friday that uses a national-interest waiver under the Graham Act. It suspends imminent duties of up to 500% on Russian goods and tariffs of up to 100% on major buyers of Russian crude and gas. The order came two days before the statutory deadline [1]. Sanctions already in place under earlier executive orders remain [1]. Moscow praised the step and Democrats criticized it. Ukrainian President Zelenskyy called it wrong and warned of cascading sanctions relief [1].

On October 17, Zelensky said Russia may try to recover immobilized assets through Ukraine's partners. He also said European partners control the situation and the assets are safe for now [2]. About 200 billion euros of Russian assets are held in the EU [2]. US officials reportedly proposed on October 9 releasing some of them to Washington as leverage in peace talks. EU leaders at the Brussels summit on October 15–16 rejected transferring assets to the US [2]. Kyiv still wants the frozen funds used directly to support Ukraine. EU progress is limited because it requires unanimous agreement among member states [2].

FinUties' news monitor logged 41 reports on this story from 9 outlets in the last days, and 118 earlier related reports going back to January 12, 2026.

How we got here

The waiver follows a run of US moves that cut against European and Ukrainian pressure on Russia. On September 23, Zelenskyy met Trump at the UN to discuss a bilateral ceasefire on energy-related targets. Hours later Russia carried out prolonged strikes on Kyiv that killed at least six people, and no ceasefire was agreed [3].

On September 24, Secretary of State Marco Rubio said Washington had invited Vladimir Putin to the December 2026 G20 summit in Miami. At that point the US was also enforcing new Russia sanctions and pushing an energy-facilities truce tied to domestic diesel prices ahead of the November midterms [4]. The Kremlin had not decided whether to attend. EU and Polish leaders warned the invitation could normalise aggression [4].

By October 4, Zelenskyy said Ukraine would intensify strikes on Russian refineries. He cited documents describing a Russian doctrine to hit civilian infrastructure this winter [5]. Washington had urged Ukraine to avoid Russian oil targets because of diesel price effects, and the G7 announced a 100 million barrel oil release [5]. Ukraine's refinery campaign had been nearly daily by late August, including a strike on a Lukoil refinery in Perm on August 21 [6].

On October 12, EU foreign ministers met in Luxembourg to consider the largest sanctions package against Russia since the 2022 invasion, targeting more than 1,600 entities [7]. The same report said Trump's announcement of a Russian diesel import deal, aimed at lowering pre-election fuel prices, undercut that pressure and opened a transatlantic rift [7].

The relationship then deteriorated further. On October 16, Ukraine struck a refinery in Ryazan region, ending a brief energy-target truce that Kyiv said Russia ignored [8]. Zelenskyy told the Financial Times that refinery attacks would resume. He said he felt betrayed by Trump over the diesel deal, the energy ceasefire and limits on Starlink use for drones [8]. Trump publicly criticized Zelenskyy [8]. The waiver also follows a separate temporary easing of Russian diesel export sanctions through April 2027 [1].

Why it matters for markets

The clearest channel is energy trade. The suspended tariffs would have hit major buyers of Russian crude and gas [1]. Their suspension could mean fewer disruptions to those flows than the original schedule implied. Together with the diesel easing through April 2027, it could ease some of the fuel-price pressure that US policy has been linked to ahead of the midterms [1][4]. Continued Ukrainian refinery strikes could work the other way, since Zelenskyy has said they will resume [8].

On the assets question, the roughly 200 billion euros held in the EU stays where it is for now [2]. Any move to use the funds directly for Ukraine would need unanimous EU agreement, so it could be slow and uncertain [2]. The EU summit rejected transferring assets to the US [2].

There is also a company-level reaction tied to the Ukraine dispute. Shares of French satellite operator Eutelsat rose about 25% over five days, including a 16.5% move on Friday. Investors treated it as a European alternative after Ukraine said military-grade Starlink access had been restricted [9]. That move is separate from the sanctions decision, and no direct market effect from the waiver itself has been reported.

What to watch

• EU sanctions package. The package targeting more than 1,600 entities was before EU ministers [7]. How Brussels responds to the US waiver could show how wide the gap has become.
• Frozen assets. It is not yet known whether Kyiv's push for direct use of the funds can win the unanimity it needs, or whether Russia finds a route to recover assets through Ukraine's partners, as Zelensky warned [2].
• Diesel and refinery strikes. The diesel easing runs through April 2027 [1]. It is not yet known whether Ukraine's resumed refinery attacks will lead to another truce attempt [8].
• Putin and the G20. The Kremlin had not decided on attending the December summit in Miami [4].
• US-Ukraine relations. Zelenskyy has said he feels betrayed, and Trump has criticized him [8]. Further sanctions relief would test the warnings about cascading steps [1].
• Russian strikes. Large-scale drone barrages continued as casualties mounted in central Ukraine [8]. Ukraine says Moscow plans to target civilian infrastructure this winter [5].

Sources

1. US Top News and Analysis: Trump waives broad new Russia sanctions, Zelenskyy condemns it as 'wrong', 17 Oct 2026
2. The Kyiv Independent: Russia may seek to get back immobilized assets through Ukraine's partners, Zelensky says, 17 Oct 2026
3. Al Jazeera: Russia’s attacks on Ukraine kill six after Zelenskyy-Trump talks, 23 Sep 2026
4. Al Jazeera: Trump invites Putin to Miami G20: Why that matters, 24 Sep 2026
5. Top Stories: Ukraine to target Russian refineries as Zelenskyy responds to air strikes, 04 Oct 2026
6. Oilprice.com: Ukrainian Drone Attack Hits Lukoil Refinery Deep in Russia, 21 Aug 2026
7. tagesschau.de: EU-Außenminister beraten über größte Sanktionsrunde gegen Russland, 12 Oct 2026
8. World News: Latest International News & Updates | The Hindu: Ukraine abandons truce and attacks Russian oil refinery as Zelenskyy says he feels betrayed by Trump, 16 Oct 2026
9. US Top News and Analysis: Europe's answer to SpaceX set for 25% weekly gain as Ukraine's Starshield limits raise concerns, 16 Oct 2026

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• Study: event-desk-20261018-trump-waives-new-russia-sanctions-as-eu-rejects-moving-froze (3a4a9ed9-b316-4ddc-a8f1-7dcf05a12251)
• Author: FinUties Research
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• Kind: event brief (news sources, not a FinUties dataset study)
• Cited sources: 9 from 7 outlets, all licensed for public use

• Earlier related events cited from 2026-08-21

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