Washington Grants Another 30-Day Waiver For Russian Oil At Sea As Global Prices Surge
Washington: US Treasury Secretary Scott Bessent announced on Monday that Washington is granting another 30-day extension to its sanctions waiver covering Russian oil shipments currently underway, even as global energy costs climb sharply amid the ongoing war with Iran, AFP reported.
In a social media message, Bessent explained that the latest “temporary 30-day general license” will “provide the most vulnerable nations with the ability to temporarily access Russian oil currently stranded at sea.” The secretary emphasized that this humanitarian-focused exemption aims to prevent energy shortages in developing countries most dependent on reliable oil supplies.
Monday’s announcement marks the second time American officials have renewed the temporary measure, designed to tackle oil supply disruptions triggered by the US-Israel military campaign against Iran. The first waiver was issued in March, and the initial extension came shortly before the original deadline.
Iran’s
counterstrikes have hit US allies in the region hard and effectively shut down the Strait of Hormuz, the critical maritime chokepoint where approximately one-fifth of global oil and gas shipments normally flow. The blockade has sent shockwaves through international energy markets, with tankers unable to pass through the strategically located vital waterway.
The prior waiver covering Russian oil at sea lapsed on May 16, creating uncertainty for shipping companies and importing nations waiting for clarity on whether cargoes would be sanctioned.
Oil prices worldwide have skyrocketed since hostilities began, with American buyers facing gasoline prices that have jumped more than 50 percent above prewar levels. The spike has hit consumers at the pump hard, contributing to inflation concerns across the economy.
Washington first released a sanctions exemption for Russian oil shipments underway in March, recognizing that blocking cargoes already in transit would worsen global supply crunches without weakening Russia’s overall oil revenue.
Ukrainian President Volodymyr Zelensky has condemned the US sanctions waiver extensions for Russian oil cargoes, arguing that allowing this Russian oil to reach international markets indirectly funds Moscow’s war effort against Ukraine.
According to Bessent, the renewal would “provide additional flexibility” and “will help stabilize the physical crude market and ensure oil reaches the most energy-vulnerable countries.”