US president Donald Trump has imposed sweeping new sanctions on Russia’s two biggest oil producers, Rosneft and Lukoil, in what he described as “tremendous sanctions” aimed at forcing Moscow to the negotiating table over its war in Ukraine. The sanctions have the potential to redraw the global tanker trading map, with Bloomberg reporting Russian crude oil supplies to India are expected to dry up completely after the sanctions and fall to near zero within a short time. Speaking in the Oval Office on Wednesday alongside NATO secretary-general Mark Rutte, Trump said the measures were necessary because President Vladimir Putin had shown “a lack of serious commitment to a peace process”. Increased demand for non-Russian barrels will likely support the west-east price arbitrage “These are tremendous sanctions,” Trump said. “Those are against their two big oil companies, and we hope they won’t be on for long. We hope the war will be settled.” The new sanctions — the most extensive energy penalties imposed since Trump returned to the White House — block the firms and dozens of subsidiaries from access to US banks and dollar transactions. “The time has come to stop the killing and for an immediate ceasefire,” said US treasury secretary Scott Bessent. “Given president Putin’s refusal to end this senseless war, Treasury is sanctioning Russia’s two largest oil companies that fund the Kremlin’s war machine. Treasury is prepared to take further action if necessary.” Trump has cancelled a planned meeting with Putin in Budapest, citing frustration over stalled talks. From a shipping perspective, the Trump sanctions and India’s reported phasing out of Russian oil imports are viewed as a net positive for tankers by SEB, a Swedish bank. “India shifting oil purchase sourcing to alternative global markets (primarily the Atlantic Basin or MEG) should see incremental demand for compliant tonnage on long-haul voyages, substituting for voyages currently handled by a mix of compliant and non-compliant tankers exporting Russian crude,” SEB suggested in a note to clients today, adding: “Increased demand for non-Russian barrels will likely support the west-east price arbitrage, making Atlantic barrels more attractive to India and other Asian regions, opening up for more long-haul trades.” Commenting on the sanctions, Jorge Leon, head of geopolitical analysis at Rystad Energy, said: “The latest US sanctions on Russia’s largest oil producers represent a significant and unprecedented escalation in Washington’s pressure campaign against Moscow. The sharp rise in oil prices following the announcement underscores market fears that Russian crude exports – particularly to India, one of its key customers – could fall sharply.” Combined with the recent wave of attacks on Russian oil infrastructure, Leon said the new sanctions raise the prospect of major disruptions to Russian crude production and exports, heightening the risk of forced production shut-ins. On top of the news out of Washington and New Delhi, the European Union is expected to adopt its 19th package of sanctions today, which for the first time will target four Chinese firms accused of helping Moscow sidestep restrictions on oil exports. The package will also include a phased ban on Russian LNG imports from January 2027 and new measures against the so-called shadow tanker fleet. The listings are said to include two independent refineries, a Chinese trading house, and one non-oil entity involved in sanctions circ