Recent news out of the White House indicates that the Trump Administration is seeking to distance the U.S. from Ukraine as a part of ongoing peace talks with Russia. Reuters is now reporting that the White House has instructed the State Department and Treasury to prepare a list of sanctions against Russian individuals and entities that the U.S. could consider lifting to advance discussions with Russia about improving diplomatic and economic relations. There is no indication at this point what if anything the Trump Administration might request in exchange for sanctions relief.
It is common for the U.S. government to use sanctions as a bargaining chip in negotiations with foreign governments. For example, the Biden administration temporarily eased sanctions targeting the Venezuelan oil industry as a part of negotiations with the Maduro regime. President Biden then allowed those sanctions to snap back after the regime failed to follow through on certain of those commitments, including allowing a fair and free election. In that instance, the Biden administration eased sanctions by issuing general licenses rather than lifting sanctions entirely. It is unclear whether the Trump administration might take a similar approach if it were to ease Russia sanctions.
The world in general – and the EU and UK in particular – will be watching closely to see what role sanctions relief will play in the White House’s ongoing discussions with Russia.
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