In a bold escalation amid global tensions, the US has refused to renew sanctions waivers on Russian and Iranian oil purchases, announced by Treasury Secretary Scott Bessent. India, heavily reliant on foreign crude now braces for supply shocks and higher energy costs
In a pivotal move amid escalating global tensions, the United States has declined to renew temporary sanctions waivers that permitted limited purchases of Russian and Iranian oil. The decision, announced by Treasury Secretary Scott Bessent during a press briefing on Wednesday (local time).
Bessent clarified that the general license for Russian oil will not be extended, limiting allowances to shipments that were already at sea before March 11. This follows a similar halt on waivers for Iranian oil, originally introduced to mitigate supply shocks from the Islamic Revolutionary Guard Corps’ blockade since late February.
New Delhi has long asserted its right to choose energy partners independently, even as the US issued a 30-day waiver on March 5, initially over the Ukraine conflict and briefly extended it to select countries before its April 11 expiry.
India faces a crucial fallout. As a top crude importer reliant on 90% foreign supplies, with 40-50% typically from the Middle East, the nation turned to Russia amid regional disruptions. Russian imports surged over threefold to 5.3 billion euros in March, with volumes doubling and spike in oil prices increasing the import bill.
