If Russian President Vladimir Putin does not agree to a ceasefire following an upcoming summit with former U.S. President Donald Trump in Alaska, the United States could implement a series of new sanctions targeting Russia’s economy and its international partners.
Recent reports indicate that Russian forces have continued their advance in eastern Ukraine, specifically toward Pokrovsk, despite ongoing diplomatic efforts. On Wednesday, Trump stated that Russia would face “very severe consequences” if it failed to end the war after the summit.
Should Putin refuse to halt military operations, recommendations for U.S. action include imposing full blocking sanctions on all Russian financial institutions. This would extend to banks not previously targeted by earlier sanctions imposed after the 2022 invasion. The proposal also calls for collaboration with the European Union to ensure no Russian bank has access to the SWIFT system and amending Executive Order 14024 to allow secondary sanctions on foreign banks transacting with Russian institutions.
Another suggested measure is sanctioning Chinese banks that provide services to Russia’s aerospace and defense sectors, using existing authorities under EO 14024. Banks in Kazakhstan and Kyrgyzstan may also be warned about potential penalties.
Further actions could involve complete sectoral sanctions on all Russian energy transactions and secondary sanctions against entities involved in such trade. EU buyers of Russian oil and gas would be asked to wind down imports or place payments into blocked accounts.
The recommendations also include enforcing a 25 percent secondary tariff on India for its purchases of Russian oil and extending similar measures to China. A ban on refined petroleum products made from Russian crude oil is proposed, mirroring steps already taken by the European Union.
Sanctioning vessels in Russia’s so-called shadow fleet of oil tankers is another step outlined, aiming to match restrictions already implemented by the EU and UK. Tankers flagged or owned by companies in EU countries would be advised against transporting Russian crude oil, as G7+ tankers recently accounted for more than half of Russia’s seaborne oil exports.
Additionally, there are calls for the seizure of over $5 billion in frozen Russian government assets held in U.S. banks, with authorization for Ukraine to use these funds for weapons purchases—a move similar to recent EU policy allowing Ukraine access to interest from frozen assets.
Finally, Congress is urged to pass the Sanctioning Russia Act of 2025—legislation introduced by Senators Lindsey Graham and Richard Blumenthal with broad bipartisan support—which would codify current sanctions and expand presidential authority for new measures.
Proponents argue that these combined steps would significantly reduce revenue available for Russia’s war effort while increasing resources available to Ukraine through access to frozen assets both in the U.S. and potentially across Europe.
According to advocates of this approach: “Taken together, these measures will deter banks, shipping companies, and refineries from dealing with Russian oil. They will also deter countries from importing products using Russian oil, and penalize India and China until their companies stop purchasing Russian energy products. These actions will deprive Putin’s war economy of up to $600 million per day in revenue, while giving Ukraine $5 billion to buy weapons. If the EU follows America’s lead, Ukraine could have access to roughly $300 billion in frozen assets.”
They further claim: “As a result of these steps, the ruble will collapse, and without hard currency, the Russian Central Bank will be unable to intervene. Russian banks will become insolvent, and the Russian stock market will crash. Eventually, the economy will seize up. Hyperinflation will set in, and the war will finally become real for Muscovites. When inflation eats away at their life savings, when they cannot access dollars except via the black market, and when prices double every few weeks, Putin and his war will become wildly unpopular. Then Moscow will finally agree to an unconditional ceasefire and a peace deal.”
