Russian President Vladimir Putin dismissed recent Western calls for preparation for a potential war with Russia as “hysteria” and “a lie,” during remarks on Wednesday, signaling Moscow’s hardline stance amid ongoing tensions over Ukraine.

Speaking in Moscow, Putin warned that if Ukraine and its Western allies abandon peace negotiations, Russia would pursue the territories it claims in Ukraine by military means.

The Kremlin also addressed reports of a proposed European-led force in Ukraine under a U.S.-brokered peace plan. Kremlin spokesman Dmitry Peskov reiterated that Russia opposes foreign military contingents on Ukrainian soil but said the matter remains open for discussion. U.S. envoy Steve Witkoff is not expected to visit Moscow this week, though Russia expects updates on the ongoing talks with Ukraine.

Meanwhile, Washington is reportedly preparing a new round of sanctions targeting Russia’s energy sector if Putin rejects a peace deal. Proposed measures include targeting vessels in Russia’s shadow fleet of oil tankers and the traders facilitating such shipments, according to Bloomberg. Treasury Secretary Scott Bessent reportedly briefed European ambassadors on the planned actions earlier this week.