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- Waiver part of US effort to control fuel prices during war
- Russia, Iran waivers criticized by US lawmakers in both parties
- Waiver expires at midnight EDT on Friday
WASHINGTON, April 10 (Reuters) – U.S. President Donald Trump’s administration is likely to extend as soon as Friday a waiver allowing countries to buy some sanctioned Russian oil and petroleum products, two sources familiar with the matter told Reuters.
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The U.S. Treasury Department has allowed purchases of Russian oil and products at sea since mid-March through the 30-day waiver that expires on April 11, part of efforts to control global energy prices during the U.S.-Israeli war with Iran.
Russia’s presidential envoy Kirill Dmitriev had said the original waiver would free 100 million barrels of Russian crude, equal to almost a day’s worth of global output.
U.S. Treasury Secretary Scott Bessent met with Trump in the White House on Thursday to talk about extending the waiver, and they agreed it was a good idea, one of the sources said, asking not to be named.
Officials at the White House and Treasury Department did not immediately comment on the matter.
Oil prices have spiked since the start of the war due to the partial closure of the Strait of Hormuz, through which about 20% of the world’s oil and gas had been shipped daily before the conflict.
The 32-nation International Energy Agency has said the war is creating the biggest oil supply disruption in history.
Fuel prices are a major concern for Trump and his Republican party leading into midterm elections in November.
The waivers, meanwhile, could complicate the West’s efforts to deprive Russia of revenue for its war in Ukraine and put Washington at odds with its allies.
European Commission President Ursula von der Leyen has said now is not the time to relax sanctions against Russia.
CONGRESSIONAL BACKLASH
The U.S. also waived sanctions on Iranian oil at sea on March 20 for 30 days, in an effort to control prices, spurring criticism from lawmakers from both political parties.
“Waiving oil sanctions now advantages the countries that wish to do us harm,” Republican Senator Jerry Moran said last month, as he urged the administration to not renew the waivers. “Iran and Russia are actively working together to place Americans and other innocent lives at risk.”
Democratic lawmakers, including Gregory Meeks, the top member of his party on the House of Representatives Foreign Affairs Committee, introduced legislation on Thursday that would stop the waiver for Russia and prevent its extension. They said the allowance gives Russian
President Vladimir Putin “a free pass to take advantage of the global rise in energy costs and fill Russia’s coffers for its illegal war against Ukraine – all while Russia helped Iran target and kill American service members in the Middle East.”
India, a U.S. ally that is vulnerable to oil shocks as a result of the war, has expected Washington to renew the waiver on Russian oil.
Reporting by Jarrett Renshaw and Dmitry Zhdannikov; Writing by Timothy Gardner and Richard Valdmanis; Editing by Paul Simao
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