Russian Diesel Tanker Diverts After U.S. Companies Avoid Cargo
A tanker carrying Russian diesel reversed course off the New York coast as U.S. companies avoid imports despite a sanctions waiver issued by Donald Trump.
The Agioi Fanendes, a tanker carrying approximately 300,000 barrels of Russian ultralow-sulfur diesel, performed a U-turn 400 nautical miles off the coast of New York after previously signaling the city as its destination. The vessel, managed by Eastern Mediterranean Maritime Ltd., is now proceeding for orders as no discharging port has been confirmed.
Donald Trump issued a temporary sanctions waiver in October to lower domestic diesel prices, which spiked during the U.S.-Israeli war on Iran. The U.S. Department of the Treasury's Office of Foreign Assets Control issued General License 135 to authorize these imports through April 2027 following a deal between Trump and Russian President Vladimir Putin. Despite this, no Russian diesel cargo has reached the United States.
Potential importers face significant legal risks and operational challenges. New Jersey Governor Mikie Sherrill warned port officials and terminal operators against accepting the shipments, citing potential civil and criminal penalties. Representative Jamie Raskin further cautioned that importers could remain liable for federal law violations for up to 10 years. While Energy Secretary Chris Wright stated the fuel would benefit global markets even if it does not dock in the U.S., critics suggest the cargo may divert to other destinations such as Brazil.
