US offered Russia three economic incentives to halt strikes on Ukrainian energy targets
The Trump administration presented Russia with three economic offers — the unfreezing of up to $100 billion in Russian assets, the sale of a stake in Lukoil to Middle Eastern investors with ties to US negotiators, and the resumption of Belarusian potash exports — in exchange for halting strikes on Ukrainian energy infrastructure and shipping. Ukraine did not reject the offers outright but demanded mirror payments or guaranteed military aid in case of violations. Days later, Trump announced the lifting of sanctions on Russian diesel fuel, a step the Ukrainian delegation in Miami was not warned about, and the talks ended early without a breakthrough.
Key points
- Three US incentives: unfreezing up to $100 billion in Russian state assets, selling part of Lukoil to Middle Eastern investors, and allowing Belarusian potash exports
- Offers were presented by special envoys Steve Witkoff and Jared Kushner and renewed in late September on the sidelines of the UN General Assembly
- Some of the prospective Lukoil buyers had business ties to Witkoff and Kushner
- Ukraine demanded mirror payments or guaranteed additional military aid if Russia violated a ceasefire; the offers did not produce a breakthrough
- On October 9, Trump announced the US would accept Russian diesel fuel; the Treasury issued a temporary license valid until April 7, 2027
- Russia announced no reciprocal concessions and said peace talks would not resume for the time being
- The Ukrainian delegation in Miami — Arakhamia, Umerov, Budanov and Kyslytsya — was not warned about the diesel decision and left the talks early
Why it matters
The disclosure makes concrete how much economic leverage Washington has been prepared to offer Moscow to scale back strikes on Ukrainian energy targets, and foregrounds the personal business connections of the US special envoys to the proposed Russian asset sales. It also explains the abrupt end of the Miami talks once Trump announced the lifting of diesel sanctions, and underscores the widening gap between the US course of easing pressure on Russian energy exports and European calls to tighten sanctions.
What happened
The Trump administration put three economic incentives to Russia in exchange for halting strikes on Ukrainian energy infrastructure and shipping, relayed by special envoys Steve Witkoff and Jared Kushner. The first was the unfreezing of up to $100 billion in Russian state assets held in the West, framed by the US as an "advance incentive" for a partial ceasefire rather than a post-ceasefire reward. The second was the sale of part of Lukoil to a group of Middle Eastern investors, some of whom had business ties to Witkoff and Kushner. The third was permission for Belarus to resume potash fertilizer exports. Ukraine did not categorically reject the proposals but asked for mirror payments to Ukraine for every dollar of unfrozen Russian assets released, or guaranteed additional military aid if Moscow violated any deal. Negotiations did not produce a breakthrough. On October 9, Trump announced he would open the American market to Russian diesel, and the US Treasury issued a temporary license allowing transactions with Russian diesel until April 7, 2027. Trump said Russia would immediately supply over 300,000 tons of fuel, an additional 500,000 tons in November, and one million tons subsequently, and the Kremlin confirmed readiness to deliver. Russia announced no reciprocal concessions and said peace talks would not be resumed for the time being. According to Axios, Trump linked the diesel decision to Zelenskyy's refusal to stop strikes on Russian oil refineries. The day after the decision Trump said it was time for Ukraine to choose a new president. The Ukrainian delegation in Miami — David Arakhamia, Rustem Umerov, Kyrylo Budanov and Sergiy Kyslytsya — was not warned in advance, and the talks ended early; presidential adviser Dmytro Lytvyn said the Ukrainian groups were already returning home. EU foreign policy chief Kaja Kallas, German Chancellor Friedrich Merz and Swedish Prime Minister Ulf Kristersson publicly warned against giving Russia additional war revenue. EU foreign ministers were set to consider the largest sanctions package against Russia since the start of the war on October 12.
How Ukrainian sources describe it
Ukrainian coverage, drawn from a single New York Times report and carried by hromadske, Forbes Ukraine and Бабель, emphasises the unexpected scope of the US offers and the surprise of Ukrainian officials at how far Witkoff and Kushner were willing to go. The framing centres on the one-sided nature of the package — economic benefits flowing to Russia, Belarus and Middle Eastern investors with personal ties to the US negotiators — and on Ukraine's measured response of demanding mirror payments or guaranteed weapons deliveries rather than a flat rejection. Zelenskyy's characterisation of the diesel sanctions lift as a "weak decision of strong partners" and an "investment in war" is highlighted to underline Kyiv's displeasure and to place the move in the context of Russia's continued strikes.
Where reporting differs
Sources diverge on two points. First, the US described the unfreezing of up to $100 billion in Russian assets as an "advance incentive" for a partial ceasefire, while Ukrainian officials characterised the offers as unexpectedly far-reaching concessions that were not reciprocated and could finance further war. Second, on the reason for the diesel sanctions lift: Axios reporting cited Trump's frustration at Zelenskyy's refusal to stop strikes on Russian oil refineries, while Ukrainian and European voices argued the move gave Russia additional war revenue at the moment EU ministers were preparing to consider the largest sanctions package since the start of the war.
Background
The Trump administration relaunched a direct US-Russia diplomatic track in late September on the sidelines of the UN General Assembly. Washington had previously explored, in 2024, the idea of unfreezing up to $100 billion in Russian assets. The Miami talks were attended by senior Ukrainian negotiators and European diplomats alongside the US envoys. Trump justified the diesel decision as compensation for Ukraine's refusal to stop striking Russian oil refineries, which he blamed for rising fuel prices.