US Treasury Secretary Scott Besent said the United States will not renew the waiver allowing India to buy Russian oil.
“We will not renew the general license for Russian oil, and we will not renew the general license for Iranian oil,” Besant said during a press conference at the White House.
Read also | US gives India a 30-day exemption to buy Russian oil, as Iran conflict raises energy concerns
What is the Russian oil waiver?
The United States had granted a “temporary” 30-day exemption to Indian refineries, allowing them to continue purchasing Russian energy, amid fears of rising global prices linked to the ongoing conflict between Iran and the American-Israeli axis, which has also extended to parts of the Gulf.
The announcement was made by US Treasury Secretary Scott Besent, who said the move would not enable Moscow to secure significant financial gains “because it only allows transactions related to oil already stuck at sea.”
Why was the temporary exemption granted?
The Trump administration official said the temporary exemption is aimed at easing global pressure at a time when Iran seeks to “take global energy hostage.”
“India is an essential partner of the United States, and we fully expect New Delhi to increase its purchases of US oil,” the Treasury Secretary wrote in a message on X.
While Iranian threats have already weakened the movement of oil and goods through the strait since US and Israeli strikes began in February, the US blockade of the key waterway now threatens to remove even more crude oil from global markets.
