The United States has granted Hungary a one-year exemption from its sanctions on Russian oil and gas following a personal appeal from Prime Minister Viktor Orbán to President Donald Trump. Trump cited Hungary’s landlocked status and lack of ports as reasons for the exemption, while Orbán warned of severe economic consequences.

The United States has granted Hungary a one-year exemption from its sanctions on the use of Russian oil and gas, a White House official said on Friday.The decision came after Hungarian Prime Minister Viktor Orbán personally appealed for the reprieve during a meeting with US President Donald Trump in Washington.After Joking About Ukraine With Trump, Orban Secures Exemption From Russian Oil Sanctions | Watch

Why Trump exempted Hungary

Orbán, a favorite of the MAGA movement and global conservatives, met the US president at the White House on Friday for their first bilateral meeting since the Republican returned to power, explaining why Hungary still needed Russian oil despite Trump urging Europe to stop importing it.

Trump noted that Hungary faces challenges sourcing oil and gas elsewhere because it is landlocked and lacks ports, making alternatives difficult. “We’re looking at it, because it’s very different for him to get the oil and gas from other areas,” Trump said, as cited by the Guardian. “As you know, they don’t have … the advantage of having sea. It’s a great country, it’s a big country, but they don’t have sea.

They don’t have the ports.”Orbán said the issue was vital for Hungary, a European country, and pledged to lay out “the consequences for the Hungarian people, and for the Hungarian economy, not to get oil and gas from Russia.”Trump, aiming to put pressure on Moscow to end its war with Ukraine, appeared sympathetic to Orbán’s position.

What it means for Hungary

For Orbán, the exemption has shielded Hungary from the severe economic impact of last month’s US sanctions on two Russian oil giants. He had warned Trump that cutting Russian energy would bring Hungary’s economy “to its knees.”Trump also questioned why many European countries continued buying Russian oil and gas despite longstanding sanctions.

He noted that, as part of the deal, Hungary also committed to purchasing around $600 million worth of US liquefied natural gas.The meeting was seen as a friendly summit, with Trump calling Orbán a great friend “beloved” in Hungary, and Orbán hoping for a “golden age” in US-Hungary relations.But US sanctions on Russia’s top energy companies are causing tension.

Hungary depends heavily on Russian energy, and Orbán said the penalties are hurting the country’s struggling economy ahead of a tough reelection.

Russia-Ukraine war

On Friday, Orbán said his meeting with Trump would cover economic and military matters, along with political cooperation, but he emphasized that the primary focus was on the war in neighboring Ukraine.

“It’s a most important issue for us, and we would like to discuss with you how we can contribute to help you in your peace efforts,” Orban told Trump, as reported by the NYT. Last month, Trump announced plans to meet his Russian counterpart, Vladimir Putin, in Budapest, but the meeting was postponed after Russia rejected a ceasefire.