Tanker Carrying Russian Diesel Bound for New York Under Trump-Putin Agreement

A Malta-flagged tanker loaded with Russian ultra-low sulphur diesel departed the Baltic port of Primorsk on 22 October and is making its way to New York, according to shipping data from LSEG — marking the first Russian petroleum cargo destined for the United States since a ban was imposed in 2022. The shipment is the first to move under a deal announced by US President Donald Trump earlier this month aimed at easing soaring diesel prices ahead of the 3 November mid-term elections.

The vessel, the Agioi Fanendes, carries 40,000 metric tons of ultra-low sulphur diesel and is expected to arrive in the United States on 7 November. The identities of the buyer and seller had not been disclosed at the time of reporting.

Kremlin confirms first tanker has sailed

Kremlin spokesman Dmitry Peskov confirmed on a daily conference call on Friday that a first tanker under the arrangement had set sail, though he did not specify whether the cargo was headed for the US market or elsewhere. “As far as I’m aware, there have already been reports from the Ministry of Energy that the first tanker has, in fact, set sail for its recipients, its buyers. Further shipments will continue at a steady pace from here on,” Peskov said.

Trump announced on 9 October that Russia would immediately export 300,000 metric tons, or 2.25 million barrels, of diesel to the United States and global markets, followed by 500,000 tons in November and one million tons “immediately thereafter.” As part of the arrangement, Trump also waived portions of a new US sanctions law against Russia and threatened Europe with a US diesel export ban unless European countries released more fuel from their emergency reserves to help ease prices.

The deal required Russia to lift a self-imposed ban on diesel exports that had previously been in place.

Russia resumes broader diesel exports

Shipping data from LSEG and Kpler published that week showed Russian diesel cargoes resuming voyages to other traditional destinations following Moscow’s decision to lift its own export ban. At least two tankers were signalling trips to Turkey and Brazil, while other vessels loaded at Primorsk were showing destinations including Gibraltar, the Atlantic Coast and Port Said, according to LSEG data. Since the European Union imposed a full embargo on Russian oil products in February 2023 over the war in Ukraine, Russia had been exporting diesel primarily to Turkey, Brazil and African nations, as well as supplying Central Asia by rail.

Russian Deputy Prime Minister Alexander Novak said additional shipments to the United States would follow as companies from both countries worked out the necessary contracts. Novak also said Russia would be able to return diesel exports to their usual levels of 3 to 3.5 million tons per month by year-end.

Putin envoy Kirill Dmitriev, who also heads Russia’s sovereign wealth fund, said the previous week that the US Treasury had asked the fund to assist in resolving payment issues connected to the agreement.

The incoming cargo would be the first Russian petroleum product imported by the United States since former President Joe Biden announced a ban on such imports in 2022.