NEW YORK/WASHINGTON, Mar 6: Amid the escalating conflict with Iran, the US said it is issuing a temporary 30-day waiver to allow Indian refiners to purchase Russian oil.
“President Trump’s energy agenda has resulted in oil and gas production reaching the highest levels ever recorded. To enable oil to keep flowing into the global market, the Treasury Department is issuing a temporary 30-day waiver to allow Indian refiners to purchase Russian oil,” Treasury Secretary Scott Bessent said on Thursday.
He said this “deliberately short-term measure” will not provide significant financial benefit to the Russian government, as it only authorises transactions involving oil already stranded at sea.
“India is an essential partner of the United States, and we fully anticipate that New Delhi will ramp up purchases of U.S. oil. This stop-gap measure will alleviate pressure caused by Iran’s attempt to take global energy hostage,” Bessent said in a post on X.
US President Donald Trump had imposed 25 per cent punitive tariffs on India for buying Russian oil, with the administration asserting that Delhi’s purchases were helping fuel Russia’s war against Ukraine.
Last month, the US and India announced they had reached a framework for an Interim Agreement on trade, and Trump issued an Executive Order removing the 25 per cent punitive tariffs on India, noting the commitment by New Delhi to stop importing energy from Moscow and increase purchasing American energy products.
A statement from the Department of Treasury titled ‘Authorizing the Delivery and Sale of Crude Oil and Petroleum Products of Russian Federation Origin Loaded on Vessels as of March 5, 2026 to India’ said that “all transactions prohibited…that are ordinarily incident and necessary to the sale, delivery, or offloading of crude oil or petroleum products of Russian Federation origin loaded on any vessel, including vessels blocked under the above listed authorities, on or before 12:01 a.m. eastern standard time, March 5, 2026 are authorized through 12:01 a.m. eastern daylight time, April 4, 2026, provided that the delivery or offloading of such crude oil or petroleum products occurs at a port” in India and the purchaser of such crude oil or petroleum products is an entity organised under the laws of India.
The general license issued by the Treasury Department said it does not authorise any other transactions or activities prohibited by any other Executive order, including any transaction or activity involving Iran, the Government of Iran, or Iranian-origin goods or services that is prohibited by the Iranian Transactions and Sanctions Regulations. (Agencies)
