‘Kremlin’s Puppet’ Inks Global Climate Credit Line Deal Hours After Trump Admin Blasts It
(Photo by Drew Angerer via Getty Images)
Gunvor, a major global commodity trading firm, announced on Friday that it secured a $2.395 billion sustainability-linked, multi-currency revolving credit facility. The move comes a day after the U.S. Treasury Department labeled the Swiss energy company “the Kremlin’s puppet.”
According to Gunvor’s website, the company is “one of the world’s largest independent commodities trading houses by turnover.” On Thursday, the Treasury posted on X that “the war must end immediately. As long as Putin continues the senseless killings, the Kremlin’s puppet, Gunvor, will never get a license to operate and profit.”
In response, Gunvor called the statement “fundamentally misinformed and false” and announced it would withdraw its reported $22 billion proposal to acquire assets from Russian energy company Lukoil. Despite the controversy, the firm moved forward on Friday with its massive ESG-linked credit facility, supported by an international consortium of banks. Some energy policy experts told the Daily Caller News Foundation that the deal represents a troubling misalignment of climate finance with U.S. strategic interests.
“Gunvor’s ESG credit deal is more than financial hypocrisy, it’s a coordinated attack on America’s economic prosperity,” said Jason Isaac, CEO of the American Energy Institute. “Foreign investment firms are acting like a cartel, using ESG mandates to coerce U.S. companies into the same failed climate agendas that crippled European industry and deepened dependence on Russian energy. The deal rewards a company that the Trump administration rightly called ‘the Kremlin’s puppet’ while punishing American companies who reject ESG dogma. ESG was never about the environment—it’s about power.”
Gunvor, in its Thursday statement, emphasized its transparency and distancing from Russia: “Gunvor is and has always been open and transparent about its ownership and business, has for more than a decade actively distanced itself from Russia, stopped trading in line with sanctions, sold off Russian assets, and publicly condemned the war in Ukraine. We welcome the opportunity to ensure this clear misunderstanding is corrected. In the meantime, Gunvor withdraws its proposal for Lukoil’s international assets.”
President Trump has been clear that the war must end immediately. As long as Putin continues the senseless killings, the Kremlin’s puppet, Gunvor, will never get a license to operate and profit.
— Treasury Department (@USTreasury) November 6, 2025
Gunvor did not respond to the DCNF’s request for further comment.
Founded in 2000 by Swedish billionaire Torbjörn Törnqvist, Gunvor was previously co-owned by Gennady Timchenko, who had reported ties to Russian President Vladimir Putin but sold his stake in 2014. The company said the new credit facility, supported by existing and new banking partners, provides “additional liquidity” compared to previous years.
The facility will operate with ESG-linked performance indicators aimed at reducing greenhouse gas emissions, funding renewable and carbon-reduction projects, and ensuring supplier compliance with human rights. Participating banks hail from multiple countries, including China, Switzerland, Abu Dhabi, and the U.K., with Citibank as the only U.S.-headquartered bank involved.
The Treasury Department statement about Gunvor is fundamentally misinformed and false. Gunvor is and has always been open and transparent about its ownership and business, and has for more than a decade actively distanced itself from Russia, stopped trading in line with…
— Gunvor Group (@Gunvor) November 6, 2025
According to Gunvor, the revolving credit facility will support general corporate purposes, including refinancing existing tranches of European revolving credit facilities.
While ESG proponents argue that sustainability-focused investing can yield long-term benefits, critics warn that it can compromise fiduciary responsibility and undermine strategic priorities.
Energy policy experts told the DCNF that the deal may conflict with U.S. interests. Sterling Burnett, director of the Arthur B. Robinson Center on Climate and Environmental Policy at The Heartland Institute, said, “If these banks and the sovereign countries that license or own them continue down this path, they may be sanctioned by the administration. This is bad for banking, bad for ending Putin’s illegal war on Ukraine, and does not advance transparency, social governance, or the environment—Gunvor’s stated goals.”
Steve Milloy, senior fellow at the Energy and Environment Legal Institute, added, “The Trump administration maintains that Gunvor is ‘Putin’s puppet’ and subject to sanctions. While Gunvor denies this, adopting ESG policies does not erase the concern. Oil industry participation in climate initiatives is often greenwashing and undermines credibility.”
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