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Monday, Dec 08, 2025
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Hungary Claims ‘Indefinite’ U.S. Waiver on Russian Energy Sanctions; White House Says One Year
Budapest and Washington diverge over the duration of Hungary’s exemption from sanctions on Russian oil and gas imports
Hungary on Saturday declared that it has secured an “indefinite” waiver from U.S. sanctions on Russian oil and gas imports after a meeting between Prime Minister Viktor Orbán and U.S. President Donald Trump, even as the White House reiterated that the exemption is limited to one year.
The waiver arises amid U.S. sanctions aimed at Russian oil companies such as Lukoil and Rosneft following the war in Ukraine.
Hungarian Foreign Minister Péter Szijjártó claimed on social media that “there are no sanctions on oil and gas shipments to Hungary for an indefinite period”, and that key routes including the TurkStream gas pipeline and the Druzhba oil pipeline would not be restricted.
A U.S. official, however, said the exemption granted to Hungary lasts one year and may be contingent on Hungary’s commitment to diversify energy imports.
As part of the deal, Hungary has reportedly agreed to purchase U.S. liquefied natural gas (LNG) contracts valued at about six hundred million dollars and to expand cooperation in nuclear-fuel sourcing.
Hungary remains heavily dependent on Russian energy: in 2024, Russian sources accounted for approximately seventy-four percent of Hungarian gas and eighty-six percent of its oil, according to International Monetary Fund data.
Analysts warn that without such an exemption, Hungary could face sharp increases in energy costs, rising unemployment and “unbearable” price inflation for households.
The emerging discrepancy over the waiver’s duration highlights Budapest’s tightrope walk between maintaining its energy-import pathways and managing its relations with both Washington and Brussels.
European Union rules target a complete phase-out of Russian gas by 2027, a timeline Hungary has publicly questioned.
As Hungary heads toward a national election next year, the deal underscores Prime Minister Orbán’s strategy of leveraging his alliance with President Trump to safeguard national economic interests while signalling his government’s willingness to cooperate with the United States.
Whether the one-year duration holds or is extended remains a key point of diplomatic scrutiny.
The waiver arises amid U.S. sanctions aimed at Russian oil companies such as Lukoil and Rosneft following the war in Ukraine.
Hungarian Foreign Minister Péter Szijjártó claimed on social media that “there are no sanctions on oil and gas shipments to Hungary for an indefinite period”, and that key routes including the TurkStream gas pipeline and the Druzhba oil pipeline would not be restricted.
A U.S. official, however, said the exemption granted to Hungary lasts one year and may be contingent on Hungary’s commitment to diversify energy imports.
As part of the deal, Hungary has reportedly agreed to purchase U.S. liquefied natural gas (LNG) contracts valued at about six hundred million dollars and to expand cooperation in nuclear-fuel sourcing.
Hungary remains heavily dependent on Russian energy: in 2024, Russian sources accounted for approximately seventy-four percent of Hungarian gas and eighty-six percent of its oil, according to International Monetary Fund data.
Analysts warn that without such an exemption, Hungary could face sharp increases in energy costs, rising unemployment and “unbearable” price inflation for households.
The emerging discrepancy over the waiver’s duration highlights Budapest’s tightrope walk between maintaining its energy-import pathways and managing its relations with both Washington and Brussels.
European Union rules target a complete phase-out of Russian gas by 2027, a timeline Hungary has publicly questioned.
As Hungary heads toward a national election next year, the deal underscores Prime Minister Orbán’s strategy of leveraging his alliance with President Trump to safeguard national economic interests while signalling his government’s willingness to cooperate with the United States.
Whether the one-year duration holds or is extended remains a key point of diplomatic scrutiny.
