The United States has announced that it will not extend sanctions waivers that allowed countries to buy energy from Russia and Iran. US Treasury Secretary Scott Bessent confirmed the decision on Wednesday.
India had benefited significantly from these waivers. However, the policy faced strong criticism from US lawmakers, who argued that it reduced financial pressure on Moscow and Tehran.
At a press briefing, Bessent said, “We will not be renewing the general license on Russian oil and we will not be renewing the general license on Iranian oil. That was oil that was on the water prior to March 11. So all that has been used.”
What Was the 30-Day Waiver?
On March 12, the US Treasury introduced a short-term waiver. It allowed Indian refiners to purchase Russian oil that had already been shipped before sanctions tightened.
Explaining the move earlier, Bessent said, “To enable oil to keep flowing into the global market, the Treasury Department is issuing a temporary 30-day waiver to allow Indian refiners to purchase Russian oil. This deliberately short-term measure will not provide significant financial benefit to the Russian government as it only authorizes transactions involving oil already stranded at sea.”
The US justified this step as necessary to stabilise global energy markets. At that time, crude oil prices had crossed $100 per barrel following tensions linked to the US-Iran conflict escalation February 2026.
Later, Washington issued a similar 30-day waiver for Iranian oil. The Russian oil waiver expired on April 11, while the Iranian waiver is set to end on April 19.
India Among Key Beneficiaries
India emerged as one of the biggest beneficiaries of these temporary relaxations. Reports suggest that Indian refiners ordered around 30 million barrels of Russian oil during the waiver period.
Major companies had earlier reduced imports from Russian suppliers such as Rosneft and Lukoil due to US sanctions. The waiver gave them a limited window to resume purchases.
Push to Extend the Policy
Despite the benefits, the US decision came even as several Asian countries, including India, reportedly urged Washington to extend the waivers. These countries were concerned about supply stability and rising energy costs. However, the US chose not to continue the temporary relief.
Political Backlash in the US
The waiver policy faced strong opposition, especially from leaders of the Democratic Party.
US Senator Richard Blumenthal criticised the move sharply. He said, “No way the Russia sanctions waiver should be extended. Trump’s waiver has handed Russia an extra $150 billion a day to fuel its murderous war machine killing & kidnapping Ukrainian kids—while it aids Iran with intelligence to target our troops.”
Other Democratic leaders, including Senate Minority Leader Chuck Schumer, also raised concerns. They urged the administration to reverse what they described as a “dangerous” policy.
In a joint statement, the senators said, “In addition to flouting notification requirements to Congress under the Countering America’s Adversaries Through Sanctions Act before relaxing sanctions on the Kremlin, Secretary Bessent characterized the license as a temporary and ‘short term’ measure that would not provide significant financial benefit to the Russian government."
They added, “But Russia’s decision to cancel its planned budget cuts demonstrates that, as we warned, Russia is directly benefiting from the administration’s sanctions relief. It is incumbent on the Trump Administration to reverse this dangerous policy, ensure that Russia does not reap any additional benefit and prevent the United States from further boosting Putin’s war machine.”
What This Means Going Forward
With the waivers ending, countries like India may now face tighter restrictions on buying Russian and Iranian oil. This could impact global supply chains and fuel prices.
The decision also signals a stricter US stance on sanctions enforcement, even as geopolitical tensions continue to influence the energy market.