Trump decides today on Russia oil waiver as Reuters points to likely outcome
US President Donald Trump and Russian leader Vladimir Putin (Photo: Getty Images)
The administration of Donald Trump is preparing to extend the permits for the purchase of sanctioned Russian oil. Such a move is intended to soften the blow to the global energy market caused by the war with Iran, according to Reuters.
The article explains that fuel prices are rising sharply. This is a critical issue for Republicans ahead of the November midterm elections. The war between Israel, the US, and Iran has effectively paralyzed some supplies, so Trump is likely to once again make an exception for Russian oil.
Reuters reminds that the US Treasury Department already allowed maritime purchases of Russian oil and food products in March. On Thursday, Treasury Secretary Scott Bessent met with Trump to discuss further steps regarding sanctions exemptions. One source reported that the parties reached an agreement. Extending the license is considered a good idea to stabilize the market.
It has also become known that Russian envoy Kirill Dmitriev has already calculated the benefit for Moscow. According to him, the initial lifting of restrictions would free up 100 million barrels of Russian oil. That is a huge volume, effectively equal to the entire world's daily output.
"No time for concessions": Reaction from the EU and opposition
Such a policy by Washington is causing a wave of outrage in Europe. European Commission President Ursula von der Leyen made a clear statement:
"Now is not the time to relax sanctions against Russia," she emphasized.
Critics are convinced that Trump is undermining Western efforts. Money from oil sales directly finances the war against Ukraine. Moreover, the White House has taken similar steps before. On March 20, the US lifted sanctions on Iranian oil exports for 30 days.
Republican Senator Jerry Moran harshly criticized this strategy:
"Waiving oil sanctions now advantages the countries that wish to do us harm. Iran and Russia are actively working together to place Americans and other innocent lives at risk."
What is the situation around the Strait of Hormuz and fuel prices?
The Strait of Hormuz remains blocked, which has doubled Russia's oil revenues in a month. The Russians managed to earn about $9 billion from the oil crisis caused by the US and Israeli war against Iran.
Meanwhile, quotations for gasoline and diesel in the EU, from which Ukraine imports fuel, have begun to rise sharply again after a short-term pause. Suppliers are raising premiums, signaling risks in finding resources.
It has also been reported that next week talks will be held in Great Britain with dozens of countries on how to unblock the Strait of Hormuz. Representatives of 41 countries are to meet for the first time since US President Donald Trump announced a ceasefire with Iran.
