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The U.S. president cites Hungary’s reliance on Russian energy as justification, marking a significant diplomatic win for Viktor Orbán.

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Washington, D.C. — U.S. President Donald Trump has granted Hungary a one-year exemption from American sanctions targeting Russian oil and gas, a White House official confirmed to BBC News.

The move follows a White House meeting between Trump and Hungarian Prime Minister Viktor Orbán, one of the president’s closest European allies. Trump said the exemption was under consideration because “it’s very difficult for him [Orbán] to get the oil and gas from other areas.”

The decision comes just weeks after the U.S. blacklisted two of Russia’s largest energy firms, warning that buyers could face penalties. Orbán’s government has maintained steady energy ties with Moscow throughout the war in Ukraine, arguing that Hungary’s landlocked geography leaves it few alternatives.

Hungarian Foreign Minister Péter Szijjártó hailed the decision on X, claiming Budapest had received a “full and unlimited exemption” from sanctions on Russian energy imports. However, U.S. officials later clarified that the waiver is temporary and limited to one year.

The exemption represents a major political victory for Orbán, who has warned that cutting off Russian supplies would devastate Hungary’s economy. During their meeting, Trump expressed sympathy for Hungary’s dependence on Russian pipelines, while criticizing other European nations for continuing to buy Russian commodities despite not being landlocked.

As part of the arrangement, Hungary will purchase several hundred million dollars’ worth of U.S. natural gas — a gesture that may not sit well with other European capitals already uneasy over Budapest’s ties with Moscow.

Orbán, who faces tough elections in the spring, has built his political brand on nationalist populism and energy pragmatism. He has repeatedly described pipelines as “not ideological or political, but physical realities,” defending his reliance on Russian oil and gas as essential for Hungary’s economy.

The two leaders also discussed the ongoing war in Ukraine — their first formal talks since Trump’s return to office. Trump said he believed Orbán “understands Putin and knows him very well,” suggesting that the Hungarian leader could play a role in brokering peace. Orbán replied that “only our two countries truly want peace,” adding that expectations of a Ukrainian victory were “a misunderstanding of the situation.”

Despite economic challenges, including Trump’s tariffs on European goods, the U.S. president praised Orbán, urging European leaders to “respect this leader very, very strongly because he’s been right on immigration.

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