A sweeping US sanctions bill offers Ukraine new leverage on Russia

Ukraine believes Russia will only negotiate seriously if the war becomes too costly

KYIV, Ukraine -- Ukraine has long argued that Russia will only negotiate seriously if the cost of continuing the war becomes too high.

For Kyiv, punitive sanctions that impose real economic costs on Moscow are a key part of that strategy.

This week’s passage of a long-sought, sweeping package of U.S. sanctions aimed at cutting off some of the financial resources President Vladimir Putin relies on to fund the war gives Ukraine another potential source of leverage, but its impact may depend on whether and how aggressively the measures are implemented by the United States.

The House on Wednesday approved the sanctions package targeting Russian officials and key sectors of the economy. On Thursday, Ukrainian President Volodymyr Zelenskyy called the vote “symbolic,” adding that the House passed the bill on the same night Russia launched another large-scale attack across Ukraine , capabilities the full implementation of the deal would derail.

Kremlin spokesman Dmitry Peskov said Thursday that if the United States imposes additional sanctions on Russia, it would hinder the Washington-led effort to end the war in Ukraine.

“We are, of course, monitoring the passing of this document. This falls into the category of unfriendly actions. And, of course, the U.S. imposing some additional sanctions would definitely complicate the efforts to find a peace settlement in Ukraine,” Peskov told reporters during his daily conference call.

“For Ukraine, the immediate benefit is political, not economic. Congress signaling political solidarity with Ukraine via its legislative support sends a valuable message to the Kremlin,” said Tom Keatinge, director of the Centre for Finance and Security at RUSI.

For Kyiv, the sanctions package offers another, powerful, way to increase economic pressure on Moscow.

Existing Western sanctions have imposed significant costs on Russia, but Kyiv has argued that they have not delivered the swift, severe economic impact needed to force a change in Moscow’s calculations.

“The U.S. House of Representatives’ passage of the Graham bill last night marks an important step toward further pressuring Russia, raising the cost of its continued aggression, and depriving the Russian war machine of resources," said Ukrainian Foreign Minister Andrii Sybiha in comments to the press on Thursday. "It is crucial not to stop there. We very much hope that this decisive move will...signal the start of a new round of intensified pressure from other partners as well.”

The new legislation targets Russian officials, financial institutions and the network of tankers used to move Russian oil while evading sanctions. It also gives President Donald Trump the authority to impose tariffs of up to 100% on major buyers of Russian oil and gas, subject to specified exemptions.

The measure passed the Senate 86-11 in August and cleared the House 262-159 on Wednesday, sending it to Trump for his signature.

Kyiv has also sought to bring the costs of the war deeper into Russia through long-range strikes on oil refineries and energy infrastructure.