Russia may face Trump tariffs in 50 days, what does US import from Russia? | Donald Trump News

United States President Donald Trump has threatened to impose steep buying and selling restrictions on Russia until a peace cope with Ukraine is reached inside 50 days, as he introduced an settlement with NATO allies to ship extra weapons to Kyiv.

The bulletins on Monday marked a shift in US international coverage as Trump’s endorsement of Ukraine comes simply weeks after Washington introduced it could pause weapons gross sales to Kyiv.

However Trump has expressed increasing frustration with Russian President Vladimir Putin and hopes that tariffs and sanctions, in addition to new offers for Patriot air defence missiles, will assist deliver an finish to Russia’s greater than three-year invasion of Ukraine.

Ukrainian President Volodymyr Zelenskyy stated on Telegram that he had spoken to Trump and “thanked him for his readiness to help Ukraine and to proceed working collectively to cease the killings and set up an enduring and simply peace”.

On Tuesday, Russia’s high safety official, Dmitry Medvedev, stated the Kremlin did not care concerning the “theatrical ultimatum” issued by Trump, including that Putin will touch upon the US proposals if he deems it obligatory to take action.

What did Trump say?

Sitting with NATO Secretary-Normal Mark Rutte on the White Home, Trump informed reporters he was disenchanted in Putin and that billions of {dollars} of US weapons would go to Ukraine.

 

In latest days, Russia has launched a whole bunch of drones to attack Ukrainian cities, angering Trump, who had accused Putin on July 8 of throwing a whole lot of “b*******” on the US. Trump has stated that his shift was motivated by frustration with the Russian president.

“My conversations with him [Putin] are at all times very nice… after which the missiles go off at evening,” he adopted up on Monday.

“We’re going to make top-of-the-line weapons, they usually’ll be despatched to NATO,” Trump stated, including that NATO would pay for them.

For his half, Rutte stated that Canada, Denmark, Finland, Germany, Sweden, the Netherlands and Norway wish to be a part of the weapons deal.

Trump additionally stated that “we’re going to be doing very extreme tariffs [on Russia] if we don’t have a deal in 50 days”.

Putin has but to just accept a proposal from Trump for an unconditional ceasefire, which was shortly endorsed by Kyiv.

Trump additionally stated US tariffs on Russian exports could be priced “at about 100%” after which threatened “secondary tariffs [otherwise known as secondary sanctions]”.

Secondary sanctions, which might be much more punishing than US tariffs, could be levied on any nation that trades with Moscow, concentrating on its commodities enterprise specifically.

What’s Trump’s tariff risk to Russia?

Since Russia invaded Ukraine in February 2022, Western international locations – together with the US, the UK, and European Union nations – have imposed 21,692 sanctions on Russia, most in opposition to people.

Key sanctions on Moscow embrace import bans on Russian oil, a price cap on Russian fuel, and the freezing of Russian central financial institution belongings held in European monetary establishments.

However the risk to impose so-called secondary sanctions, if carried out, would mark a notable shift.

Thus far, Group of Seven (G7) member states have held again from taking steps that will prohibit Russia from promoting its fossil fuels elsewhere, to key consumers like China and India.

Lawmakers from each US political events are pushing for a invoice – the Sanctioning Russia Act of 2025 – that will goal different international locations that purchase Russian oil and fuel.

The invoice would give Trump the authority to impose 500 % tariffs on any nation that helps Russia. US senators are reportedly ready on Trump’s OK to maneuver the invoice ahead.

Trump might additionally impose secondary tariffs by way of the Worldwide Emergency Financial Powers Act, which lets the president prohibit commerce within the occasion of a nationwide emergency.

Elsewhere, EU international locations are near reaching an settlement on a brand new bundle of sanctions in opposition to Russia, the bloc’s international coverage chief Kaja Kallas stated on Tuesday.

“We hope to succeed in a political settlement on the 18th sanctions bundle,” Kallas stated earlier than a gathering with international affairs ministers from the 27 EU international locations in Brussels.

How dependent is Russia’s financial system on fossil fuels?

Fossil gas gross sales nonetheless generate substantial income for the Kremlin. Seaborne oil revenues, as an example, dropped modestly in 2024 however stayed at close to pre-war ranges.

This is because of Russia’s “shadow fleet” – ships with opaque possession constructions and no Western ties by way of finance or insurance coverage, permitting them to bypass Western sanctions.

So, whereas G7 sanctions have lowered Moscow’s margins and elevated export prices, they haven’t lower volumes to importing nations.

From 2022 to 2025, China has bought nearly half of Russia’s whole crude oil exports (roughly 5 million barrels per day), with India following intently behind at almost 40 %.

Each international locations additionally import a considerable amount of Russian coal. Different importing nations embrace Brazil, Turkiye and Egypt.

The EU, in the meantime, continues to devour massive quantities of Russian pure fuel, although Brussels has said it needs to terminate all its contracts by 2027.

As for the US itself, larger tariffs on Russian items would have little influence – exports to the US totalled simply $3bn in 2024, or 0.7 % of Russia’s whole exports.

Whereas fossil fuels now contribute much less to Russia’s gross home product (GDP) than pre-invasion, Moscow’s dependence on power merchandise stays excessive.

Estimates differ, however fossil fuels nonetheless make up 55 % of Russian export revenues and 16 % of its GDP (roughly $280bn)

That compares with 60 % and 18 %, respectively, earlier than Russia invaded Ukraine in February 2022 – a small drop.

How a lot might Trump’s sanctions risk harm Moscow?

A pointy decline in Russian power flows from secondary sanctions would nearly actually result in larger world costs, notably for pure fuel.

“The influence would most likely be better on pure fuel costs than oil,” stated Kieran Tompkins, senior local weather and commodities economist at Capital Economics, in a notice.

He identified that “the oil market seems to have adequate spare capability to roughly offset a lack of Russian exports”, owing to untapped OPEC provides.

Nevertheless, he identified that “knocking out half of Russia’s crude and petroleum exports [on the back of Trump’s threat] might cut back export revenues by $75bn or so.”

In flip, Tompkins stated that might induce a “fiscal disaster” in Russia, resulting in “debt issuance ramping up, bond yields spiking and stress for widespread fiscal tightening.”

Trying forward, Trump’s 50-day proposal will give Moscow a while to provide you with counterproposals and delay the implementation of sanctions.

However Trump will likely be hoping that the specter of sanctions will affect Putin to place an finish to hostilities.