U.S. Treasury Secretary Steven Mnuchin and White House spokesman Sean Spicer both clearly stated at a White House press conference on Feb 14. that the U.S. sanctions regime against Russia will stay in place.
Mnuchin, at his first press conference as secretary, stated that, “Our current sanctions programs are in place.” Spicer, claiming that U.S. president Donald Trump has been “incredibly tough” on Russia, reiterated that “President Trump has made it very clear that he expects the Russian government to de-escalate violence in the [sic] Ukraine and return Crimea. He continually raises the issue of Crimea…” Spicer also quoted at length the statement made on Feb. 2 by Ambassador to the United nations Nikki Haley, including, “the dire situation in eastern Ukraine is one that demands clear and strong condemnation of Russian actions.” Moreover, Spicer stated that “…there is no change in our current sanctions strategy, or with Russia.”
James Hydzik: The major thrust of the press conference was on the resignation of national security advisor Mike Flynn, but the sanctions regime (including the last Obama-era round) figured prominently at several points. Spicer made it clear that both he and Ambassador Haley were speaking on behalf of and on the direction of President Trump. As with the Obama administration, a reset of relations is possible, but Russia would have to demonstrate its good faith, and if that does not happen, then the sanctions regime does not change. We predict no significant change in the near term.