The United States will not extend sanctions waivers that allowed countries to buy energy from Russia and Iran, Treasury Secretary Scott Bessent announced on Wednesday. India had been among the key beneficiaries of these waivers.
“We will not be renewing the general license on Russian oil and we will not be renewing the general license on Iranian oil,” Bessent said, adding that the exemptions applied only to shipments already at sea before March 11 and have now been exhausted.
What was the 30-day waiver?
On March 12, the US Treasury issued a temporary 30-day waiver allowing Indian refiners to purchase Russian oil that had already been loaded onto tankers. The move was aimed at preventing supply disruptions and stabilising global markets as crude prices surged above $100 per barrel following the outbreak of the US-Iran conflict.
Washington later introduced a similar 30-day waiver for Iranian oil. While the Russian waiver expired on April 11, the Iranian waiver is set to lapse on April 19.
Push for extension
Despite pressure from several Asian countries, including India, to extend the waivers, Washington chose not to renew them. India had reportedly ordered around 30 million barrels of Russian oil under the exemption.
Major Indian refiners such as Reliance Industries had earlier reduced purchases from Russian firms like Rosneft and Lukoil due to sanctions.
Criticism over waivers
The policy had drawn sharp criticism from US lawmakers, particularly Democrats. Senator Richard Blumenthal opposed extending the waiver, arguing it provided significant financial support to Moscow’s war efforts.
Other senior Democrats, including Chuck Schumer, also urged the administration to roll back what they called a “dangerous” sanctions relief policy, warning it risked boosting Russia’s military capabilities.
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