US Rules Out Renewing Sanctions Waiver On Russian, Iranian Oil; India Likely To Face Impact

 

New Delhi : The United States has said that it will not renew the waivers that had allowed several countries, including India, to purchase Russian and Iranian oil without facing US sanctions.

US Treasury Secretary Scott Bessent made the announcement during a press conference at the White House on Wednesday.

He said the general licences that permitted such purchases will not be extended. "We will not be renewing the general license on Russian oil, and we will not be renewing the general license on Iranian oil," PTI quoted him as saying. He added that the earlier relief applied only to shipments that were already in transit before March 11 and that has now been fully utilised.

 

The US had issued a 30-day waiver on March 5, allowing India to continue buying Russian oil despite sanctions linked to the Ukraine war. The exemption was later extended to a few other countries and expired on April 11. During this period, India's imports of Russian crude rose sharply.

A report released by European think tank Centre for Research on Energy and Clean Air (CREA) earlier this month mentioned that India's crude oil purchases from Russia more than tripled to 5.3 billion euros in March after a drop in purchases in February.

 

The report further noted that India was the second-largest buyer of Russian fossil fuels in March 2026, importing hydrocarbons worth 5.8 billion euros. Crude oil made up the bulk of these purchases, accounting for 91 percent.

"India was the second-highest buyer of Russian fossil fuels in March 2026, importing a total of EUR 5.8 billion of Russian hydrocarbons. Crude oil products constituted 91 per cent of India's purchases, totalling EUR 5.3 billion," it said.

Other imports included coal worth 337 million euros and oil products valued at 178.5 million euros. This marked a sharp increase from February, when India was the third-largest importer and had purchased Russian hydrocarbons worth 1.8 billion euros.

 

In February, India was the third largest importer, purchasing Russian hydrocarbons worth 1.8 billion euros. Crude oil constituted the largest share at 81 percent (EUR 1.4 billion), followed by coal (EUR 223 million) and oil products (EUR 121 million). "While India's total crude imports recorded a four percent reduction in March, Russian imports doubled," CREA said.

 

Earlier, US Energy Secretary Chris Wright had said the waiver was a temporary and practical step to stabilise global oil markets. He had noted that the US encouraged India to continue purchases at the time to avoid supply shortages and price spikes amid tensions in West Asia. He had also clarified that the move did not signal any change in Washington's overall policy towards Russia.

With the expiry of the waiver now and no extension planned, countries buying Russian oil may have to reassess their options in the coming weeks.