US greenlights Russian oil exports again until April
Oil (Photo: Getty Images)
The US Department of the Treasury has temporarily eased oil sanctions on Russia, allowing the export of already loaded oil and petroleum products, according to Reuters.
US relaxes restrictions on Russian oil sales
Amid a global oil crisis driven by military actions in the Middle East, Washington made a decision that, until recently, seemed unlikely.
The US Treasury issued a general license allowing Russia to sell oil that had already been shipped, effectively providing a temporary easing of sanctions pressure on Moscow.
According to the Treasury, the authorization applies only to oil loaded onto ships before March 12, and sales are permitted until April 11.
Thus, the sanctions relief is designed for one month, likely aimed at stabilizing the global oil situation in the short term.
Restrictions and nuances of the new license
It is important to note that the new US license does not cover transactions related to Iran.
Military actions in the country, including the closure of the Strait of Hormuz, have created a supply shortage on the global oil market.
US Treasury Secretary Scott Bessent emphasized that the temporary authorization applies only to oil currently stuck at sea and will not provide significant revenue to the Russian government.
In other words, the measure is limited and short-term, intended to mitigate the effects of the global energy crisis.
For context, Russia’s oil export revenues in February reached their lowest level since the start of the full-scale invasion of Ukraine.
The global oil market is facing an unprecedented crisis amid the large-scale conflict in the Middle East. Disruptions in supply, halted tankers, and attacks on oil infrastructure have reduced production by millions of barrels, driving oil prices sharply higher.
