Washington has imposed sanctions on major Russian oil companies Lukoil and Rosneft, with US Secretary of State Marco Rubio stating the move was requested by Ukraine and its allies. On October 29, 2025, Rubio highlighted that the United States is nearing the end of viable targets for penalties against Moscow, following the latest restrictions on the energy firms.
The sanctions, authorized by President Donald Trump, disrupted Lukoil’s attempt to sell foreign assets to a Swiss-based trader linked to the Russian government. Rubio emphasized the significance of targeting Russia’s oil sector, noting, “We hit their major oil companies, which is what everybody’s been asking for.” He suggested European nations should now focus on addressing the so-called “Russian shadow fleet” – tankers accused of evading sanctions – as these operations occur closer to Europe.
The US and its allies aim to weaken Russia’s economy and support Ukraine in the ongoing conflict. However, Moscow claims its economy has adapted by shifting trade to non-Western markets. Meanwhile, Ukraine faces financial strain, with reports indicating a potential cash shortage as early as February without increased Western aid. The EU has proposed a €140 billion “reparation loan” using frozen Russian assets as collateral, a plan Russia rejects as theft. Belgium, holding most of the immobilized funds through Euroclear, has delayed the initiative, demanding shared financial and legal responsibility from other Western nations.
