McCormick, Warren, Husted, and Coons Co-Lead Bipartisan Bill to Strengthen and Sustain Pressure on Russian Oil Revenue, Help Achieve Just Peace

McCormick, Warren, Husted, and Coons Co-Lead Bipartisan Bill to Strengthen and Sustain Pressure on Russian Oil Revenue, Help Achieve Just Peace

The bipartisan DROP Act targets Russia's main source of revenue by addressing the global ecosystem of those dealing in Russian oil

Bill Text (PDF)

Washington, D.C. - Today, U.S. Senators Dave McCormick (R-PA), along with Senators Elizabeth Warren (D-Mass.), Chris Coons (D-DE), and Jon Husted (R-OH), introduced the Decreasing Russia Oil Profits (DROP) Act of 2025 requiring targeted sanctions on anyone, anywhere dealing in Russian oil. Drawing on recommendations from bipartisan national security experts, the DROP Act fills a key gap in U.S. sanctions posture towards the individuals and companies around the world who import and move Russian-origin oil-the most important source of revenue propping up the Kremlin's war spending. The bill would provide for limited exceptions that promote U.S. and Ukrainian interests, such as exceptions for countries that isolate Russian oil proceeds or for importers who pay a per-barrel fee into an account to help Ukraine defend itself.

"Any nation or entity that buys Russian oil is actively funding Russia's aggression in Ukraine. Putin has demonstrated he is unserious about bringing this war against Ukraine to a close, and continuing to fuel the war machine should carry consequences," said Senator Dave McCormick. "This legislation establishes a framework to ostracize Russian petroleum while simultaneously supporting Ukraine."

"I'm proud to join my colleagues in sending a simple message: no matter how the Kremlin tries to reshuffle its exports to evade our measures, anyone who helps facilitate imports of Russian-origin oil risks losing access to the U.S. financial system," said Ranking Member Warren. "To achieve a just peace, we must demonstrate that the United States can sustainably drive up the costs for Russia as Putin continues his brutal war of choice."

"This bill sends a clear message to the world that there will be consequences for continuing to buy Russian oil. Congress will also no longer tolerate the hypocrisy of nations that condemn Vladimir Putin's actions on the world stage while funding his war machine through shady oil purchases. If our allies and trade partners want to purchase oil, they can buy American. For those countries that insist on buying Russian, this bill will encourage them to step up and provide support to Ukraine," said Senator Jon Husted.

"Putin will only stop when we stop him," said Senator Coons. "He is using profits from Russian oil to fund a horrific war against Ukraine which has seen Russian torture and kill civilians, kidnap children, and threaten democracy. The brave Ukrainian forces are protecting freedom around the world, holding the line against Russia at incredible cost. If we really want to bring a lasting end to this war, it requires commitment to Ukraine and pressure on Russia. This bipartisan bill is a step in that direction: it will cut off Putin's lifelines by targeting the true buyers of Russian oil, bringing us closer to a fair and just peace."

In October, the Trump Administration designated two major Russian oil companies, but Russia has already started circumventing those designations by redirecting and relabeling its oil exports to obscure links to those particular companies. Since January, there has been a halt in regular U.S. counter-evasion sanctions against companies in China and other third countries who profit while undermining global efforts to counter Russia's war machine.

The DROP Act would strengthen the impact of the Trump Administration's designations on the two Russian companies themselves, addressing the global ecosystem of those dealing in Russian oil to increase pressure on revenue that props up the Kremlin's ballooning defense spending. It would also give the Administration flexibility to apply these sanctions in a sustainable way, giving agencies a menu of exception frameworks to advance U.S. and Ukrainian interests.

Specifically, the bill would require targeted sanctions on purchasers, intermediaries, or anyone else dealing in Russian oil. Targeted sanctions have the effect of shutting out of the U.S. financial system those specific individuals or entities who are responsible for behavior that undermines our national security. But the Administration would be able to choose up to two of four exception frameworks to apply globally:

• Isolating and reducing Russian oil purchases. If a purchasing country agrees to pay Russia into an escrow account that isolates the funds, while significantly reducing its oil purchases from Russia over time, the Administration could choose not to apply sanctions to those facilitating imports to that purchasing country.
• Generating revenue for Ukraine. If purchasers pay a fee into an account for Ukraine for every barrel of Russian oil they buy, the Administration could choose not to apply sanctions on those facilitating such purchases.
• Providing significant military or economic support for Ukraine. If a purchasing country's government provides significant military or economic support to Ukraine, the Administration could choose not to apply sanctions to those facilitating imports to that purchasing country.
• Temporary port-specific exception. Temporarily, the Administration could choose not to implement mandatory sanctions related to oil exported from certain Russian ports, to ramp up pressure over time as needed.

None of the exceptions would apply for activities tied to above-price cap purchases of Russian crude oil or refined petroleum products, regardless of any tie to a G7 jurisdiction. Thus, the bill would create a mandatory sanctions criterion for anyone, anywhere who purchases or deals in Russian oil that was purchased above the price cap.

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