US permits import of stranded Russian oil cargoes for 30 days
The United States (US) has issued a 30-day waiver allowing Indian refiners to buy Russian oil cargoes currently stranded at sea due to disrupted shipping routes.
US Treasury Secretary Scott Bessent announced the decision on Thursday, describing it as a limited and temporary measure designed to address supply disruptions caused by the blockade of the Strait of Hormuz amid the ongoing conflict involving US, Israel and Iran, which has expanded across West Asia.
He emphasised the measure “will not provide significant financial benefit to the Russian government.”
The exemption was issued by the Office of Foreign Assets Control and applies only to cargoes that have already been shipped. It allows them to be redirected to Indian ports until the waiver expires on April 4, 2026. The decision does not permit new Russian oil shipments and does not represent a broader relaxation of US secondary sanctions.
Bessent also indicated that Washington expects India to increase purchases of US crude once the immediate crisis subsides, underscoring the strategic energy partnership between the two countries.
The disruption of key Middle Eastern shipping lanes has created a sudden shortage of available crude cargoes, forcing refiners to seek alternatives.
Indian refiners have already secured several million barrels of Russian crude under the temporary measure as they scramble to maintain supply. Among the companies responding to the waiver is Reliance Industries, India’s largest private refiner.
The company plans to process the oil at refineries supplying the domestic Indian market while continuing to operate export-oriented facilities using non-Russian crude grades.
