After India, US lets more countries buy Russian oil cargoes stuck at sea

US Treasury Secretary Scott Bessent said the measure would permit countries to buy Russian oil currently stranded on ships, in what he described as a limited and short-term step aimed at preventing supply disruptions.

“@POTUS is taking decisive steps to promote stability in global energy markets and working to keep prices low as we address the threat and instability posed by the terrorist Iranian regime.,” Bessent said in a post on X.

The temporary authorisation applies only to Russian crude and petroleum products that were already loaded on vessels and are currently at sea, according to the Treasury.

Bessent said the measure is narrowly tailored and would not significantly benefit the Russian government because most of Moscow’s energy revenues come from taxes imposed at the point of extraction.

The announcement follows a similar waiver issued earlier for India, allowing Indian refiners to receive Russian cargoes that had been loaded before early March 5 and are currently stranded at sea, provided they are delivered to Indian ports by early April.

Bessent said the waiver was designed to keep oil moving in global markets and relieve pressure caused by what he called Iran’s attempt to “take global energy hostage.”

White House press secretary Karoline Leavitt said the decision to grant India the temporary authorisation came after consultations among Trump, Bessent and the national security team.

“Our allies in India have been good actors and have previously stopped buying sanctioned Russian oil,” Leavitt told reporters earlier this week.

She said that the waiver applied only to cargoes already at sea and would not generate significant financial gains for Russia.

The policy shift comes despite tensions between Washington and New Delhi over Russian energy purchases.

Trump had earlier imposed a 25% tariff on Indian goods, accusing India of helping finance Russia’s war in Ukraine through its oil imports.

Last month, however, the two countries agreed on a framework for an interim trade arrangement, after which Trump signed an executive order removing the tariffs.

US Energy Secretary Chris Wright said the temporary measure would allow existing Russian cargoes around southern Asia to be refined and quickly pushed into global markets.

“We are allowing our friends in India to take oil that is already on ships, refine it and move those barrels into the market quickly,” Wright wrote on X. “A practical way to get supply flowing and ease pressure.”