A group of 14 Senate Democrats is pressing the Trump administration to reinstate sanctions on Russian oil after a temporary waiver tied to the Iran war.
In a letter to Treasury Secretary Scott Bessent, the lawmakers argued that the policy allows additional revenue to flow to Moscow, at a time when oil prices are already elevated. The administration first eased sanctions in mid-March after the Strait of Hormuz disruption tightened global supply and pushed prices sharply higher.
The 30-day waiver, initially set to expire April 11, has been extended to May 16. The political pressure is building as the deadline approaches.
Brent crude was trading over $110 per barrel on Tuesday, up from around $70 before the conflict. U.S. gasoline prices are running at an average $4.48 per gallon, according to AAA.
Estimates cited in recent Senate discussions peg the increase to Russia’s oil revenues at roughly $150 million per day.
“Continuing to pause these sanctions is a mistake that President Trump must reverse immediately,” the senators wrote in a letter, according to Punchbowl News, adding that the administration “must use every tool” at its disposal to “cut into Russia’s war windfall profits instead of enabling their additional revenues.
The senators were adamant that the Trump Administration has “options” to “dissuade purchases of Russian oil.”
The administration has defended the waiver move as a short-term step to stabilize supply after the loss of flows through Hormuz, which handles roughly a fifth of the global oil trade. The closure has disrupted roughly a fifth of global oil trade, forcing buyers to compete for non-Gulf barrels and pushing physical prices higher.
Washington has employed a number of steps to manage the price spike, including drawing oil from the Strategic Petroleum Reserve, encouraging higher domestic output, and easing restrictions on shipping. Temporary sanctions relief has also been extended to oil flows from Iran and Venezuela.
By Julianne Geiger for Oilprice.com
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