Shippingtelegraph: US grants 30-day waiver for India to buy Russian oil amid Iran war
With the effective halt in maritime cargo movement through the Strait of Hormuz hitting crude oil flows, the US has issued a temporary 30-day “waiver” to allow Indian refiners to buy Russian oil.
“President Trump’s energy agenda has resulted in oil and gas production reaching the highest levels ever recorded. 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,” Treasury Secretary Scott Bessent said on Thursday.
He said 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. “India is an essential partner of the United States, and we fully anticipate that New Delhi will ramp up purchases of U.S. oil. This stop-gap measure will alleviate pressure caused by Iran’s attempt to take global energy hostage,” Bessent reportedly said.
A statement from the Department of Treasury titled Authorizing the Delivery and Sale of Crude Oil and Petroleum Products of Russian Federation Origin Loaded on Vessels as of March 5, 2026 to India said that “all transactions prohibited … that are ordinarily incident and necessary to the sale, delivery, or offloading of crude oil or petroleum products of Russian Federation origin loaded on any vessel, including vessels blocked under the above listed authorities, on or before 12:01 a.m. eastern standard time, March 5, 2026 are authorized through 12:01 a.m. eastern daylight time, April 4, 2026, provided that the delivery or offloading of such crude oil or petroleum products occurs at a port” in India and the purchaser of such crude oil or petroleum products is an entity organised under the laws of India.
The Treasury Department’s general licence stated that it does not permit any other transactions or activities that are forbidden by any other Executive order, such as those involving Iran, the Iranian government, or goods or services of Iranian origin that are forbidden by the Iranian Transactions and Sanctions Regulations.
US announced last month a trade deal with New Delhi, cutting tariff rates on Indian exports from 25% to 18%. Trump said the move followed India’s agreement to stop buying Russian oil.
In a social media post, US president Donald Trump said he was announcing the deal, whereby the United States will charge a reduced reciprocal tariff, lowering it from 25% to 18%.
“He agreed to stop buying Russian oil, and to buy much more from the United States and, potentially, Venezuela,” Trump wrote on Truth Social.
He added that he, at Modi’s request, agreed to a trade deal that would see tariffs lowered and India’s tariffs and non-tariff barriers against the United States reduced to zero.
Additionally, Trump said Modi committed to “Buy American,” at a much higher level, in addition to over $500bn of U.S. energy, technology, agricultural, coal, and many other products.
“Prime Minister Modi committed to $500bn of purchases of U.S. energy, transportation, agricultural products…. This is a great deal, and a huge win for American workers, businesses, and consumers alike,” told reporters White House press secretary Karoline Leavitt.
Prime minister Modi also commented on the tariff cut. “Wonderful to speak with my dear friend President Trump today. Delighted that Made in India products will now have a reduced tariff of 18 per cent,” Modi said in a social media post on X. “Big thanks to President Trump on behalf of the 1.4 billion people of India for this wonderful announcement.”
The India-US trade agreement indicates a possible thaw in ties between the two nations, which had drastically been affected last year.
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