Russia hails Trump waiving sanctions as 'historic'

Russia has hailed US President Donald Trump's decision to waive new sanctions targeting its energy revenues as a "historic" move, raising concerns among Ukraine and its European allies that Washington is favouring Moscow.

Russia on Saturday hailed US President Donald Trump's move to waive new sanctions on it as "historic", as Ukraine worries he is taking Moscow's side in Europe's worst conflict since World War II.

Trump signed an executive order Friday that waived sweeping US sanctions targeting Russia's energy revenues amid a clash with Ukrainian President Volodymyr Zelensky.

The decision came despite Russia increasing strikes on Ukraine -- especially its capital, Kyiv -- in the fifth year of its offensive, which has killed hundreds of thousands of people and displaced millions.

"The Trump administration's suspension of the Graham Act is an important and truly historic moment," Kirill Dmitriev, envoy for Russian President Vladimir Putin, said on social media.

The Lindsey Graham Act -- named after the deceased US senator who sponsored the bill -- targeted Russia's energy and defence sectors, as well as Putin and the so-called "shadow fleet" of tankers used by Moscow to circumvent Western sanctions.

The Kremlin and Putin have not yet reacted to the move, which is a major diplomatic win for Moscow.

Dmitriev said the act would have caused "serious damage first and foremost to the US economy and global markets".

Trump's waiver comes after he struck a deal with Putin to ease existing sanctions on Russia in exchange for Moscow releasing large amounts of diesel onto global markets.

He announced the executive order Friday, shortly after Putin appeared in military uniform and said Moscow aims to capture the rest of east Ukraine.

US-led talks to end the war in Ukraine have not led to a breakthrough. Both Putin and Zelensky have frustrated Trump in the past with a lack of progress in halting the grinding war.

The move is bound to spook Ukraine's European allies, who worry the White House is taking the Kremlin's side.

Zelensky rallied his allies Friday on a visit to Brussels for a European Union summit, urging them to keep financing Ukraine's fight and insisting he was standing up for his country amid the row with Trump.

Russian forces struck Ukraine's southern city of Kherson Saturday after Trump's announcement, killing one person and wounding 22, local officials said.

Russia has increased strikes on Kyiv in recent weeks, squeezing the city as Ukrainians brace for another winter of war.

Ukraine has been struggling to shoot down Russian missiles and has been left scrambling to boost defences ahead of winter.

Russia controls large swathes of eastern and southern Ukraine and Putin has repeatedly said Moscow intends to seize the rest of east Ukraine by force.

"On the whole I see a positive trend in the operations of the troop groupings," Putin told army leaders Friday, dressed in military attire.

"Undoubtedly, one of the main objectives remains the liberation of the Donetsk People's Republic," he added, using the Kremlin's name for the eastern Donetsk region.

European leaders put on a show of unity with Zelensky Friday as he grappled with Trump.

"This is no time to withdraw the support to Ukraine. This is no time to relieve Russia's sanctions," said European Council chief Antonio Costa.

"Now it is time to increase our support, to increase our pressure."

European concerns have been heightened by disruptions to a critical US-provided satellite system that has hampered Ukraine's ability to counter Russia's intense bombardments.