This will be a blow to Russia's budget. The US government estimates how much the sanctions will reduce oil revenues
Bessent responded in this way in an interview for CBS television to the claims of Kremlin envoy Kirill Dmitriev, who assured that the Russian economy was resistant to sanctions and that their result would only be higher gasoline prices in the US. The minister called Dmitriev a “propagandist” and said the Russian economy was not immune.
— I think Russia will feel the pain immediately. I can tell you that India has already completely stopped purchasing Russian oil. Many Chinese refineries have suspended them. Margaret, are you really going to publish what the Russian propagandist says? Because what else can he say? That “oh, this is terrible, and this will bring Putin to the negotiating table”? Bessent said ironically.
— Of course, the Russian economy is a war economy. Economic growth is virtually zero. Inflation, I believe, is over 20%. (Russian statistics say 8.4 percent – ed.), and everything we do will lead Putin to negotiations. It is oil that finances the Russian war machine and I think we can significantly reduce its profits, he added.
Bessent said that year-on-year Russia's revenues from oil sales decreased by 20 percent. and that he suspects that sanctions will reduce them by another 20-30 percent. New sanctions – targeting Rosneft and Lukoil – were announced a few days ago.
— President Trump has been criticized for not doing enough. Now he has made this bold maneuver and you are quoting a Russian propagandist, Bessent said to the journalist.
Dmitriev was scheduled to meet with special peacekeeping envoy Steve Witkoff in Florida on Saturday. It is known that on Sunday he met with pro-Russian Republican congresswoman Anna Paulina Luna. On Saturday, in an interview for Fox News, he argued that an agreement to end the war in Ukraine was close.
In addition to the issue of Russian sanctions, Bessent, in his Sunday media appearances, announced the conclusion of a preliminary framework agreement with China, announcing the withdrawal of the threat of imposing an additional 100 percent. tariffs on Chinese goods. As he stated, at the same time the threat to impose controls on the export of Chinese rare earth metals to countries around the world will be withdrawn. This is to be the result of his discussions with Chinese Vice Prime Minister He Lifeng.
See also: Let's get ready for an increase in fuel prices. Oil up after sanctions on Rosneft and Lukoil
The agreement is to be concluded during the Thursday meeting of the leaders of the superpowers in Busan, South Korea. Bessent announced that the leaders will then also “consummate” the agreement on the takeover of TikTok in the US by an American consortium.
