Canadian Business News
Markets · Economy · Finance · Real Estate
Market Watch
As of 9:11 PM EDT
TSX35,664.62▲ 1.48%
S&P 5007,811.54▲ 0.60%
DOW51,654.95▲ 0.83%
NASDAQ27,366.17▲ 0.64%
CAD/USD0.7017▲ 0.02%
WTI CRUDE89.79▼ 2.24%
GOLD4,237.00▲ 0.49%
BoC RATE2.25%▼ 0.25 pts

Carney Backs Trump’s Energy Ceasefire but Warns Russia Diesel Deal Undermines Ukraine Peace Push

Prime Minister Mark Carney thanked U.S. President Donald Trump on Sunday for what the Prime Minister’s Office described as “his leadership toward securing an energy ceasefire” between Ukraine and Russia, while simultaneously warning Ukrainian President Volodymyr Zelenskyy that a separate U.S.-Russia diesel supply agreement risks undercutting efforts to end the war.

Trump announced on his Truth Social account that Ukraine and Russia had agreed to an “energy ceasefire,” though he did not immediately provide details. Carney responded on social media, saying the ceasefire “has the potential to significantly de-escalate the war and protect thousands of citizens from hardship,” and a PMO readout said he expressed “strong support for this agreement” during a call with Trump.

Diesel Deal Draws Criticism

At the same time, Carney was critical of a separate arrangement Trump announced Friday to secure millions of tonnes of Russian diesel fuel for the United States. Following a call with Zelenskyy, the PMO said Carney made clear the fuel deal “is in direct opposition to the efforts of Ukraine, Canada, and our allies to create peace and stability in Europe,” warning it would provide Russia with additional revenue to help finance its war. Carney also said he remains willing to expand Canada’s sanctions against Russia.

Photo by Tom Fisk on Pexels

The diesel agreement has also drawn scrutiny in Washington. U.S. Republican Senator Thom Tillis said on NBC’s “Meet the Press” that the deal could run afoul of a 2022 law banning Russian energy imports, saying there is “a legitimate case for saying the president’s not following the law.” U.S. Treasury Secretary Scott Bessent disputed that characterization on Fox News, saying the administration would proceed “with all the legal authorities we have.”

Trump has said it is “time for Ukraine to get a new president” and has argued the diesel deal will ease fuel price pressures on Americans, blaming Ukrainian drone strikes on Russian energy facilities for global price increases. The issue comes as affordability remains a top concern for American voters ahead of November midterm elections that could shift control of Congress away from Republicans.

Zelenskyy Awaits Details, Reports Continued Strikes

Zelenskyy publicly voiced support for Trump’s announced energy ceasefire but said he was still awaiting details from the White House. Both Carney and Zelenskyy called on Russia to halt strikes on Ukraine’s energy infrastructure and to abide by the agreement. Zelenskyy said recent strikes hit a power plant in Kyiv and an energy facility in Kharkiv even after Trump’s ceasefire announcement, adding that Russia carried out more than 200 strikes on electricity generation and transmission facilities in the past week, along with 17 strikes targeting gas and oil facilities.

Carney and Zelenskyy also discussed increasing coordination with European Union allies on Ukraine’s air defence needs. Zelenskyy thanked Carney for Canada’s involvement in the FREYJA anti-ballistic missile system, a European project being developed as an alternative to the U.S. Patriot system through Ukrainian defence company Fire Point, and said Carney was well informed about Ukraine’s defence requirements heading into winter.

Zelenskyy also spoke Sunday with Finnish President Alexander Stubb, NATO Secretary-General Mark Rutte and European Commission President Ursula von der Leyen, who said Ukraine’s military funding needs would be central to this week’s European Council meetings.


This article references reporting from:

Avatar photo
Terence Miller studied finance and economics, and spent a lot of that time more interested in why markets behave the way they do than in memorizing formulas for exams. He's drawn to stories about smaller companies and the decisions behind them: why a founder pivoted, why a deal fell apart, why a "sure thing" wasn't. He's still figuring out his voice as a writer, which he thinks is a more honest thing to admit than pretending otherwise. When he's not writing, he's probably reading earnings calls for fun, which he recognizes is a strange hobby to have.