Washington had issued the exemption for New Delhi and others to lower soaring energy prices amid the Iran war
The US will not renew the sanctions waiver that facilitated purchases of Russian oil by India and other countries, a top Trump administration official has said.
A 30-day waiver of sanctions on Iranian oil at sea will also expire this week.
“We will not be renewing the general license on Russian oil, and we will not be renewing the general license on Iranian oil,” Treasury Secretary Scott Bessent told reporters on Wednesday. “That was oil that was on the water prior to March 11. So all that has been used,” Bessent said at a White House briefing.
Washington’s decision not to renew the sanctions waiver on oil from Russia and Iran comes after many US Senators voiced opposition to any extension.
🇺🇸 Treasury Secretary ‘Doesn’t Know’ How Much Russia Made From Temporary Sanctions Waiver
“If oil had spiked to $150, they would have made a lot more.”
New Delhi, which had been gradually reducing its purchases of Russian oil since last year, more than tripled its crude oil purchases from Moscow in March to $5.8 billion from $1.54 billion in February, after the waiver. Reports said Indian refiners placed orders for roughly 30 million barrels of Russian oil during the period.
The US Treasury Department also issued a waiver for Iranian oil on March 20, paving the way for some 140 million barrels of crude to reach global markets amid the Middle East conflict.
India made its first purchases of Iranian oil in seven years after the US waiver in April.
Iranian crude accounted for 11.5% of India’s total imports before it ceased purchases in 2019 after the tightening of US sanctions on Iran, NDTV reported.
New Delhi emerged as a key market for Russian oil after the Ukraine conflict escalated in 2022. It bought almost two million barrels a day in 2024 and nearly $44 billion of crude from Moscow last year.
India is the world’s third-largest importer and consumer of oil. The country gets 90% of its requirements from abroad, and the Middle East accounted for 54% of its oil imports as of February. The Iran conflict and the closure of the Strait of Hormuz have heightened supply concerns in the South Asian nation.
