Trump to sanction two big Russian oil companies in a bid to sway Putin

US President Donald Trump said he's imposing "tremendous" sanctions on Russia's two biggest oil companies and said he hopes they will persuade Russian President Vladimir Putin to agree to a ceasefire in the war against Ukraine.

This after a summit between Trump and Putin in Hungary was cancelled. Moscow called the measures counter-productive to securing peace with Ukraine.

China's Foreign Ministry said Beijing opposes unilateral sanctions.

The aftermath of a Russian strike on Ukraine's second-biggest city, Kharkiv.

Russian drones also caused damage in the capital Kyiv and Zaporizhzhia province, with Moscow also claiming to have captured more territory in Donetsk, continually changing the frontlines of battle where US President Donald Trump wants them to stop.

Feeling he has so far exhausted all possible diplomatic efforts to secure a ceasefire, Trump has turned to sanctions for the first time, hitting Russia's two biggest oil companies, Rosneft and Lukoil.

Sitting alongside NATO Secretary-General Mark Rutte, Trump said he hopes the sanctions will have an effect.

"Look, these are tremendous sanctions," said Trump. "These are very big. Those are against their two big oil companies. And we hope that they won't be on for long. We hope that the war will be settled. We would like to see them just take the line that has been formed over quite a long period of time, and go and let's, you know, go home."

Britain also recently imposed sanctions on the two oil companies while the European Union approved new measures that include a ban on Russian liquefied natural gas imports. Rutte said NATO backs Trump's moves.

"So his (Trump's) position here, and I completely support this, is as he said, stop where you are," said Rutte. "As both to the Ukrainians as well to the Russians. So I'm absolutely convinced that with sustained pressure, we will be able to get Putin to the table to agree with a ceasefire and then other talks coming after that."

Trump said Chinese President Xi Jinping can influence Putin, and the US president hopes to pursue that line in a potential meeting with Xi in South Korea next week.

"Yeah, I do. I think (Xi) he can have a big influence on Putin," he said. "Look, he's a respected man, he's a very strong leader of a very big country. Yeah, I think he can have a big influence. And we will certainly be talking about Russia-Ukraine."

With Russia continually looking for ways to fund the war, lawmakers on Wednesday approved in the first reading of a bill that will raise value added tax.

Finance Minister Anton Siluanov said Moscow needs to spend on defence and security, with the VAT rate rising to 22 percent from 20 percent.