US weighs tougher Russia sanctions, presses Europe to act

The United States has prepared additional penalties targeting key parts of Russia’s economy if Moscow does not move toward ending its war in Ukraine, according to officials familiar with internal deliberations. Options under review include measures against the banking sector and infrastructure that moves Russian oil to market.

Washington has also told European partners it supports the EU’s use of frozen Russian assets to procure US-made weapons for Kyiv, and has quietly discussed how Russian assets held in the US could bolster Ukraine’s defence. The plans come days after President Donald Trump imposed his first set of Russia sanctions since returning to office, a move that jolted oil prices and forced major Asian buyers to reassess supply.

Trump has cast himself as a peacemaker but acknowledges the Ukraine conflict is proving difficult to resolve. He said he would not meet Vladimir Putin again unless a peace deal appears likely. US officials, meanwhile, want European governments to take the next major step—through fresh sanctions or tariffs—while the administration gauges the impact of last week’s measures on companies such as Lukoil and Rosneft.

Further options floated by Ukrainian interlocutors include cutting all Russian banks off from the dollar system, though it is unclear how seriously those proposals are being weighed. On Capitol Hill, some senators are trying to revive a bipartisan sanctions package; aides say Trump is open to backing it, but not immediately. The Treasury Department declined to comment on any prospective steps.

Amid the policy churn, Kremlin envoy Kirill Dmitriev claimed the US, Ukraine and Russia are edging toward a diplomatic solution. Ukraine’s embassy in Washington welcomed recent moves to degrade Russia’s war machine but offered no additional details.