The US Treasury Department has sanctioned Russian state-owned oil companies Rosneft and Lukoil, citing Russia's insufficient efforts to end the ongoing conflict. The sanctions, announced on Wednesday, also target subsidiaries of these companies, freezing assets where they hold a 50% or greater stake. Rosneft and Lukoil together represent nearly half of Russia's crude oil exports, approximately 2.2 million barrels per day, and are significant contributors to the federal budget. In response to the sanctions, US President Trump canceled a planned meeting with Russian President Putin in Budapest, stating it was not "appropriate" to meet at this time. Trump expressed hope that the sanctions would not be prolonged but emphasized the necessity of the measures.