In an apparent reversal of course, Washington announced that it will issue a fresh 30-day general license allowing countries around the world, including India, to purchase energy from Russia without attracting US sanctions.
This comes just two days after Treasury Secretary Scott Bessent stated that America would not be renewing two earlier 30-day licenses from March, which allowed the purchase of previously sanctioned Russian and Iranian energy respectively. According to an order released by the US Treasury late on Friday local time, a new general license will replace the earlier license allowing energy purchases from Russia. However, the purchase of Iranian energy will no longer be permitted. Track US-Iran war live updates.
The terms of the new sanctions waiver allow the purchase of Russian crude oil and petroleum products that were loaded onto vessels on or before April 17 and will be authorised until just after midnight Eastern Standard Time on May 16.
The US Treasury’s decision came despite numerous reports that officials from Asian nations, including India, were pushing Washington to extend the sanctions waivers that were first issued in March. Key officials told HT that they expected an extension of the waivers, given the need to reduce global energy prices that soared after the US-Iran conflict began in late February.
India was a key beneficiary of the sanctions waivers. According to reports citing government officials, India placed orders for roughly 30 million barrels of oil from Russia after the sanctions waiver was put into effect. Indian refiners like Reliance had previously wound down their purchases from Russian suppliers like Rosneft and Lukoil due to US sanctions against these energy majors.
However, Treasury Secretary Bessent’s remarks on Wednesday clearly indicated that Washington was not going to extend the sanctions waivers.
“We will not be renewing the general license on Russian oil and we will not be renewing the general license on Iranian oil. That was oil that was on the water prior to March 11. So all that has been used,” Bessent said at a White House press conference.
“As far as energy sourcing is concerned, we have told you on several occasions what our policy is. It is based on meeting the requirements of our 1.4 billion people as also the market conditions and the global situation that is available. That continues to be our policy as far as energy sourcing is concerned. There has been no change,” said Randhir Jaiswal, official spokesperson of the Indian Ministry of External Affairs, on Thursday in response to Bessent’s earlier statement. New Delhi has not reacted as yet to the apparent reversal in Washington’s policy.
The reversal in Washington’s position comes despite significant political opposition to the Trump administration waiving sanctions on the sale of Russian and Iranian energy.
“No way the Russia sanctions waiver should be extended. Trump’s waiver has handed Russia an extra $150 billion a day to fuel its murderous war machine killing & kidnapping Ukrainian kids—while it aids Iran with intelligence to target our troops,” said US Senator Richard Blumenthal in a post on X on April 10.
Congressmen Gregory Meeks and William Keating also introduced a bill in the House of Representatives that would terminate the Russian sanctions waiver and starve Moscow of energy revenues.
“The Trump Administration’s war of choice in the Middle East has caused prices at the gas pump for everyday Americans to skyrocket. To offset this reckless decision, Trump issued licenses that gave Putin a free pass to take advantage of the global rise in energy costs and fill Russia’s coffers for its illegal war against Ukraine — all while Russia helped Iran target and kill American service members in the Middle East. We’re introducing this bill to end the existing licenses, prevent them from being issued in the future, and starve Russia of the oil revenues it so desperately needs,” the two legislators said in a statement.
🚨 BREAKING: Watch the full clip here ➤
