Financial Times: Iran’s war has given Russia a lifeline

The war in the Middle East has distracted the Trump administration from talks on stopping the war in Ukraine, the Financial Times reported, citing four European diplomats involved in the talks.

The European diplomats added that Russia has benefited from the war in Iran by lifting US sanctions on Russian oil and rapidly depleting US ammunition that could have been sent to Ukraine.

The Financial Times quoted a senior European official as saying that negotiations between Russia and Ukraine have become a reality in a dangerous region.

The newspaper added that the war in Iran has given Russia an unexpected lifeline as oil prices have soared, with Moscow making an additional gain of about $150 million per day.

Washington’s temporary permission to buy Russian oil also means that Moscow will make more gains in the coming period.

The Financial Times, citing two European diplomats, said US officials told their European counterparts last week that there would be no further sanctions on Russia’s oil industry.

The US Treasury Department on Thursday issued a 30-day temporary authorization that allows countries to buy shipments of Russian crude oil and oil products stranded at sea and subject to sanctions, in a move aimed at easing pressure on global supplies as navigation comes to a near-complete halt in the Strait of Hormuz.

The Financial Times reported that US officials told their European counterparts last week that there would be no more sanctions on the Russian oil industry.

From his part, German Chancellor Friedrich Merz was quick to criticize the US decision during a visit to Norway on Friday, saying, “easing sanctions now, for whatever reason, is wrong… We think this is the wrong path”.

French President Emmanuel Macron said the closure of the Strait of Hormuz “doesn’t in any way justify lifting sanctions on Russia,” stressing after a virtual meeting of G7 leaders that Western countries should continue to pressure Russia to stop the war in Ukraine.