US Treasury Secretary Scott Bessent has ruled out renewing Washington’s waivers for Iranian and Russian oil, signalling a tougher stance amid disruptions in global energy markets caused by the US-Israeli war in Iran and the closure of the Strait of Hormuz.
"Not the Iranians," Bessent told The Associated Press. "We have the blockade, and there's no oil coming out."
"And we think in the next two, three days, they're going to have to start shuttering production, which will be very bad for their wells."
The US had originally issued a waiver for Russian oil sales and petroleum products in March to help stabilise global energy markets after crude prices surged above USD 100 per barrel. However, Bessent indicated that relief would not be extended further.
Bessent said during the World Bank and International Monetary Fund meetings last week, "More than 10 of the most vulnerable and poorest countries came to me and said, Can you help?"
"It was for those vulnerable and poor countries. But I wouldn't imagine that we'd have another extension. I think the Russian oil on the water has been largely sucked up."