Berlin slams Trump plan to ease Russian, Iranian oil sanctions

Germany has delivered a pointed rebuke to the Trump administration's plan to ease oil sanctions on Russia and Iran, warning that the move would only strengthen regimes Berlin views as hostile to international law and Western values. Economy Minister Katherina Reiche made the comments Friday in an interview with the daily BILD newspaper, as global energy markets continue to reel from the escalating US-Israeli war with Iran.

"It cannot be in our interest to strengthen regimes—through the easing of oil sanctions—that are responsible for oppression and terror at home or that wage wars of aggression abroad in violation of international law," Reiche said, explicitly referencing Russia's ongoing invasion of Ukraine and Iran's deadly crackdown on anti-regime protests in January. "Every dollar spent on oil from Russia also feeds the war chest; every dollar spent on oil from Iran stabilizes a regime that is fundamentally opposed to our values."

Washington's Calculation, Berlin's Divergence

The Trump administration has moved to temporarily lift sanctions on Russian oil imports as part of a broader effort to contain energy prices that have spiked dramatically since the American-Israeli assault on Iran began on Feb. 28. Washington is also considering easing restrictions to allow foreign buyers to purchase Iranian crude currently held in floating storage, a move aimed at increasing global supply and cooling markets.

Reiche made clear that Germany would not follow Washington's lead. "We are steadfastly staying the course: toward greater independence, greater diversification of energy imports, and accelerated expansion of renewable energy," she said, reaffirming Berlin's commitment to reducing reliance on fossil fuels from nations with which it has fundamental disagreements.

Rising Fuel Costs Hit German Consumers

German motorists are already feeling the impact of the Iran war on their wallets. Petrol prices have climbed from approximately €1.82 per liter to €2.07 per liter over the past three weeks—a sharp increase of nearly 14 percent. The price surge reflects broader market anxieties as the Strait of Hormuz remains effectively closed to most shipping and Iran continues to launch retaliatory strikes across the region.

As Washington seeks short-term relief for global energy markets by temporarily loosening sanctions, Berlin appears willing to absorb higher costs in the service of what it views as principled opposition to the regimes in Moscow and Tehran. The divergence highlights growing transatlantic tension over how best to balance energy security with geopolitical objectives.