US Renews Russian Oil Waiver Amid Iran War Energy Strain

by Stefan J. Bos, Worthy News Chief International Correspondent

WASHINGTON/BUDAPEST (Worthy News) – The administration of U.S. President Donald J. Trump has renewed a waiver allowing countries to buy sanctioned Russian oil at sea for about a month, despite critics fearing it could help Moscow finance its war against Ukraine.

The U.S. Treasury Department’s decision lets countries purchase Russian oil and petroleum products loaded on vessels as of Friday through May 16.

It replaces a 30-day waiver that expired on April 11 and excludes transactions involving Iran, Cuba, and North Korea, according to sources familiar with the matter.

The extension follows a sudden policy reversal by Washington, which had signaled just days earlier that no renewal would be granted. “We will not be renewing the general license on Russian oil, and we will not be renewing the general license on Iranian oil,” Treasury Secretary Scott Bessent said on Wednesday at the White House.

Fighting in the region has damaged dozens of energy facilities and threatened key shipping routes, raising fears of shortages and renewed disruption in the Strait of Hormuz, a vital artery for global oil transport.

ENERGY PRESSURES DRIVE SHIFT

The waiver allows shipments of Russian oil already loaded onto tankers to reach global markets, offering short-term relief to countries facing tight supply. However, it also enables Moscow to increase export revenues despite sanctions imposed over its war in Ukraine.

That dilemma has sparked criticism in Washington and among European allies, who warn that easing restrictions risks weakening efforts to financially constrain Russia at a crucial stage in the conflict.

At the same time, major oil-importing nations have urged the United States to act, fearing further price increases that could ripple through the global economy.

Rising fuel costs remain a politically sensitive issue, particularly ahead of U.S. elections.

GLOBAL MARKETS UNDER STRAIN

Analysts say the decision reflects the limited options available to policymakers amid the war’s ongoing disruption of energy markets. Combined with earlier measures, the waivers could affect up to 200 million barrels of Russian oil entering global supply chains.

The measures come as higher energy prices are driving up the cost of transport, food, and daily necessities, placing additional strain on households and businesses worldwide, including in Asia.

“People are queuing up for fuel at petrol stations, and there is panic buying. We are very concerned about the future,” said Christian entrepreneur Clarita Orfrecio in an interview with Worthy News from the Philippines. “We pray the Lord will help us.”

Experts warn that lasting damage to infrastructure and ongoing geopolitical tensions could keep markets volatile, forcing governments to take unorthodox steps to maintain stability amid uncertain global energy supplies.

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