The idea the U.S. administration would be able to normalize ties with Russian President Vladimir Putin is the stuff of fairytales, according to the president of the world's largest aluminum company.

President Oleg Deripaska told CNBC he believed it is unrealistic to expect U.S. President Donald Trump and the rest of his administration to soothe relations with Russia, despite Washington's recent calls for improved ties with Moscow.

"We all tend to believe (in this) kind of fairytale but there is a reality … You know Trump and his administration needs to prove that they would be capable to change (the) economic reality in the U.S.," Deripaska said in an exclusive interview with CNBC on Tuesday.

President Trump's attempts to improve relations with the Kremlin have been hampered by his team's connections to Russia which allegedly date back to the election campaign. U.S. intelligence agencies also found that Moscow had hacked Trump's Democratic rivals during the election process.