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Putin sees Ukraine peace deal possible despite airspace dispute

Russian president cites support from U.S. and China for negotiations but warns Kyiv’s warnings to airlines complicate talks. Putin also discussed intelligence contacts with Trump administration.

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Sophie Laurent · FX & Rates Desk · 4 Sept 2026 · 00:44 · 2 min read
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Putin sees Ukraine peace deal possible despite airspace dispute

Russian President Vladimir Putin said on Thursday that a negotiated end to the Ukraine war remains possible despite rising tensions over airspace safety, but warned that Kyiv’s warnings to airlines have made resuming talks more difficult.

Putin, speaking at an economic forum in Vladivostok, acknowledged that several countries, including the United States and China, have signaled willingness to support a peace agreement. However, he emphasized that the core issue must be resolved by the two parties directly involved in the conflict—Russia and Ukraine.

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The dispute has intensified after Ukraine urged airlines and insurers to avoid Russian airspace, citing the presence of Ukrainian drones near conflict zones. Kyiv has maintained that its military targets only Russian military installations and does not pose a threat to civilian aircraft. Ukraine also called on the UN aviation agency this week to urge member states to ban operations in Russian airspace.

Putin described Ukrainian attacks on civilian merchant ships and threats to restrict airspace as "acts of state terrorism," reiterating Moscow’s stance that such measures undermine the feasibility of peace talks. The conflict, now in its fourth and a half year, has left Ukrainian airspace largely closed to commercial traffic since Russia’s invasion in 2022, with no formal negotiations held since February.

The Russian president also addressed intelligence channels with the U.S., stating that contacts are maintained through Trump administration envoys. He noted that CIA Director John Ratcliffe met with Russian intelligence chiefs in Moscow last week, while emphasizing that broader U.S.-Russia relations depend on Washington’s approach. Putin expressed cautious optimism about potential constructive engagement under President Donald Trump, saying, "We are in favor of restoring full relations with the United States. However, this does not depend solely on us; it depends on the American side. But, as I understand, perceive, and observe, President Trump is committed to positive and constructive involvement."

This article was produced with AI assistance and edited by a Finance Review Daily journalist.
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Written by
Sophie Laurent
FX & Rates Desk

Sophie covers currency markets and central bank policy across Europe, with a focus on how rate decisions ripple through FX pairs. She has been tracking the ECB's policy path since the start of the current easing cycle.

More from Sophie Laurent →
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