The United States has extended a key sanctions waiver on Russian oil after appeals from more than 10 of the world’s most energy-vulnerable countries, a move that also keeps supplies flowing to major buyers like India.
US Treasury Secretary Scott Bessent said the decision followed direct requests made during last week’s global finance meetings.
“I was approached by more than 10 of the most vulnerable and poorest countries in terms of energy, and they asked us to extend that sanction (waiver),” Bessent told lawmakers. “And it is only for 30 days.”
The move marks a sharp shift from Washington’s earlier position.
Just days before, Bessent had indicated the US would not extend waivers for Russian or Iranian oil. But late Friday, the US Department of the Treasury announced a 30-day extension for Russian oil sales.
The reversal comes against a backdrop of renewed strain in global energy markets. Following US-Israeli strikes on Iran earlier this year, Tehran retaliated by effectively shutting access to the Strait of Hormuz — a critical artery for global oil shipments.
The disruption pushed oil prices sharply higher, hitting import-dependent economies hardest and triggering fresh concerns over supply stability.
“It was my belief we would not do it,” Bessent said, underscoring how the decision evolved under pressure.
He defended the move as necessary to stabilise markets and ease costs.
CRITICISM OVER RUSSIA WINDFALL
The decision has drawn criticism, particularly from Volodymyr Zelenskyy, who warned that continued oil sales could funnel revenue into Moscow’s war effort.
Critics argue even temporary relief risks weakening sanctions designed to pressure Russia. But Bessent pushed back, saying the priority was to prevent a broader economic shock.
The administration is now trying to balance sanctions pressure with global energy stability — especially for vulnerable economies.
The 30-day waiver reflects that tension.
Earlier, the US had granted a similar exemption to India starting March 5, followed by short-term waivers for other countries that expired on April 11.
INDIA’S RUSSIAN OIL FLOWS STAY STRONG
India, one of the largest buyers of Russian crude since 2022, has been in active discussions with Washington over extending the waiver, citing supply chain disruptions linked to the West Asia conflict.
The issue has also featured in recent high-level engagement, including a call between Donald Trump and Narendra Modi.
Despite sanctions pressure, Russian oil flows to India remain near record levels. Traders say refiners have already secured much of their supply through non-sanctioned entities and vessels, allowing imports to continue largely uninterrupted.
India imported a record 2.25 million barrels per day (bpd) of Russian oil in March — nearly double February’s levels — with Russian crude accounting for about 50% of total imports.
Shipments have remained elevated into April. Arrivals are projected at around 2.1 million bpd for the week of April 20–27, up from 1.67 million bpd the previous week, according to shipping analytics firm Kpler.
A brief dip in mid-April was linked to export disruptions following Ukrainian drone attacks on Russian ports in late March, sources said.
Even so, supplies are expected to average above 2 million bpd for April and likely remain at similar — or higher — levels in May.
India is now the second-largest buyer of Russian crude after China and the largest importer of its flagship Urals grade — helping Moscow sustain revenues despite Western sanctions.
