Vladimir Putin and Donald Trump (R)

The United States announced to impose one of its largest-ever sanctions packages against Russia after Treasury Secretary Scott Bessent accused Vladimir Putin of failing to engage “honestly” in talks with President Donald Trump.“President Putin has not come to the table in an honest and forthright manner, as we’d hoped,” Bessent told Fox Business, adding that Trump was “disappointed at where we are in these talks.”

The new measures target Russia’s two biggest oil firms — Rosneft and Lukoil — following the collapse of ceasefire discussions between Washington and Moscow. The announcement came a day after a planned Trump-Putin summit in Budapest was called off amid US frustration over the lack of progress in peace negotiations.“Given President Putin’s refusal to end this senseless war, Treasury is sanctioning Russia’s two largest oil companies that fund the Kremlin’s war machine,” Bessent said in a statement. He added that the Treasury Department was ready “to take further action if necessary” to back Trump’s push to end the conflict.Speaking ahead of the official announcement, Bessent described the move as “one of the largest sanctions that we have done against the Russian Federation.”Trump had resisted imposing new penalties for months, hoping to convince Putin to pursue peace despite mounting tensions. However, his patience reportedly ran out in the six days following their phone call last Thursday.Bessent recalled that during the leaders’ August meeting in Alaska, “President Trump walked away when he realized that things were not moving forward.” He added, “There have been behind-the-scenes talks, but I believe that the president is disappointed at where we are in these talks.”The European Union also announced fresh sanctions against Moscow on Wednesday, including a ban on Russian liquefied natural gas imports by 2027, the blacklisting of oil tankers used by Russia, and new travel restrictions for Russian diplomats.Since returning to office in January, Trump has repeatedly threatened sanctions but held off, hoping to broker an end to the three-and-a-half-year conflict. He initially believed progress was possible after last week’s call with Putin and even floated a meeting in Budapest within two weeks.However, his stance shifted after Kyiv officials said Trump had pressed Ukrainian President Volodymyr Zelenskyy to concede territory while rejecting his request for long-range Tomahawk missiles. By Tuesday, Trump said he didn’t want a “wasted meeting,” effectively shelving the planned summit.News of the sanctions sent oil prices higher in after-hours trading, with both WTI and Brent benchmarks rising by more than one percent.