There was a major shift in the current US administration’s approach to Russia yesterday (22 October), as the White House imposed new sanctions on Russian oil firms in a bid to accelerate peace efforts in Ukraine.
Elsewhere, Washington could be set to restrict exports to China of goods that rely on US software, while the European Commission (EC) president warned on green tech competition.
US hits Russian oil with sanctions
The US has imposed new sanctions on Russia as president Donald Trump expressed exasperation over the failure of counterpart Vladimir Putin to agree a peace deal in Ukraine.
Speaking yesterday, Trump said that “every time I speak to Vladimir, I have good conversations and then they don't go anywhere”. Rosneft and Lukoil, two of Russia’s largest oil companies, have been targeted by the sanctions.
Trump said “we waited a long time” to impose new sanctions, but that he “just felt it was time”. Treasury secretary Scott Bessent said “Putin's refusal to end this senseless war” was to blame for the new measures.
The president also hinted that the sanctions could be removed should Russia agree to end the war, stating “we hope that they won’t be on for long. We hope that the war will be settled.”
Industry sources in India have told Reuters that the sanctions could lead to a sharp drop in Indian purchases of Russia’s oil, which have bolstered Russia’s revenues streams throughout the conflict.
Software curbs with China
It’s not only Russia in the US’ sights, if a different Reuters report is to be believed, as the Trump administration mulls new restrictions on trade with China.
A range of exports utilising “critical software” developed in the US could be limited, according to the report, which could impact small-scale goods like laptops as well as larger ones like jet engines. It follows statements from Trump that “any and all critical software” could be targeted by 1 November.
Bessent has said that “everything is on the table” in the US’ ongoing dispute with China, and that it would seek support from allies:
"If these export controls - whether it's software, engines or other things - happen, it will likely be in coordination with our G7 allies."
China has said it opposes the US "imposing unilateral long-arm jurisdiction measures".
Chartered Institute graduation
This year’s graduation ceremony for those who have completed qualifications with the Chartered Institute of Export & International Trade or the UK Customs Academy takes place today (23 October) at Mansion House in London.
We’ll be gathering together with graduates to celebrate their achievements and to hear from speakers about the value of excellence in international trade and customs.
You can view highlights from last year’s event here ahead of the 2025 edition.
Von der Leyen on China’s green tech
EC president, Ursula von der Leyen, has said that “heavily subsidised Chinese competitors” wrested control of the world’s solar panel industry from Europe – and that this should be a “cautionary tale” for the bloc on new ‘cleantech’.
“Today, China controls 90 percent of the global market,” she said, after the state support allowed Chinese firms to “outprice Europe's young industry”.
“This time, we should learn our lesson,” von der Leyen added in remarks reported by Politico, as the EU seeks to ensure it corners at least 15% of global production of green technologies. The EC has predicted that the EU market for the tech will grow to €375bn by 2035.
The former German Defence minister also raised the alarm over China’s exertion of control over the global supply of critical minerals, which she called a “crisis” that is “no longer a distant risk” but an immediate one that “is on our doorstep”. She said:
“Now, we must accelerate decisively and urgently. We need faster, more reliable supply of critical raw materials, both here in Europe and with trusted partners. I will be ready to propose further measures to ensure Europe’s economic security and I will accelerate what we have already put in motion.”
What else is in the news
- Former prime minister Tony Blair called for a cancellation of the UK’s target for decarbonisation of the power system by 2030, warning increased electricity prices were undermining support for the transition to greener energy sources
- Protests in Peru have sparked a declaration of emergency from government that could include army patrols on streets and additional checks at the port of Callao
- After Japan confirmed its new prime minister yesterday, traders and officials told Bloomberg that its plans to stabilise electricity supply could impact liquidity in the spot market
Yesterday in trade
- The US and Qatar warned the EU its new plans on climate and human rights could pose an “existential risk” to the bloc’s economic competitiveness
- Reports suggested that the UK could be set to ditch its ‘de minimis’ import duty exemption for low-value packages
- The UK’s EU ‘reset’ efforts reached a stumbling block, as the EU reportedly wants an uncapped youth movement scheme while the UK government seeks a hard cap on numbers coming to the UK
