US Allowed India to Continue Buying Russian Oil, Says Treasury Secretary Bessent
Temporary waiver aims to stabilise global energy supplies amid tensions in West Asia
New York/Washington, Mar 7: The United States has permitted India to receive Russian oil that is already on ships at sea in an effort to stabilise global energy supplies during the ongoing West Asia crisis, US Treasury Secretary Scott Bessent said.
In an interview with Fox Business, Bessent stated that the US Treasury Department approved a temporary measure allowing Indian refiners to purchase Russian crude currently in transit. The step is aimed at preventing supply disruptions and easing pressure on the international oil market.
According to Bessent, India had earlier complied with Washington’s request to halt purchases of sanctioned Russian crude and had been preparing to replace those imports with supplies from the United States. However, the current arrangement has been allowed to address a short-term gap in global oil availability.
The treasury secretary noted that large quantities of sanctioned crude remain stored on vessels at sea. Allowing these barrels to enter the market could quickly boost supply and reduce price volatility during the conflict.
US Energy Secretary Chris Wright also confirmed the move, saying Washington is permitting India to refine oil already on ships near South Asia and release it into global markets. He said the step is intended to ensure steady supply and prevent further increases in oil prices.
Wright added that the measure is temporary and designed to ease short-term constraints caused by disruptions around the Strait of Hormuz during the conflict involving the United States, Israel and Iran.
The decision follows a 30-day waiver issued by the United States Department of the Treasury allowing Indian refiners to process Russian crude loaded on vessels before March 5. The authorisation is valid until early April and applies only to shipments already at sea.
Officials emphasised that the waiver does not represent a broader shift in US policy toward Russia. Instead, it is intended as a limited step to maintain stability in global energy markets while tensions persist.
The move also comes months after US President Donald Trump had imposed punitive tariffs on India over its purchase of Russian oil, a measure later removed following negotiations on a trade framework and commitments related to energy imports.
