The Trump administration has temporarily allowed countries to buy Russian oil already stranded at sea as officials try to calm energy markets during the war with Iran.
The U.S. Treasury Department issued a 30-day license on March 12. The measure allows the delivery and sale of Russian crude oil and petroleum products that had already been loaded onto ships as of that date. The exemption lasts until April 11.
Treasury Secretary Scott Bessent said the move was designed to “promote stability in global energy markets” and keep prices down as the Middle East conflict drives new pressure on oil supplies.
“This narrowly tailored, short-term measure applies only to oil already in transit and will not provide significant financial benefit to the Russian government,” Bessent wrote on X.
He said Russia gets most of its energy revenue from taxes collected at the point of extraction, not from cargoes already moving at sea.
The decision came as oil prices surged and tanker traffic through the Strait of Hormuz slowed sharply. The waterway is one of the world’s most important energy chokepoints. Before the Iran conflict, about 20 million barrels of crude and refined products moved through the strait each day.
Now, according to an International Energy Agency report, shipments have fallen to “a trickle.” The agency also warned that losses could worsen if shipping does not resume soon.
The administration says the waiver is limited and temporary. Bessent said it applies only to Russian oil “already in transit.”
“To increase the global reach of existing supply, [Treasury] is providing a temporary authorization to permit countries to purchase Russian oil currently stranded at sea,” he wrote.
CNBC said about 124 million barrels of Russian oil are currently at sea. That would equal roughly five to six days of global supply.
The energy shock has been tied to the war with Iran. Oil prices have climbed since U.S.-Israeli military operations against Iran began at the end of February. Iran has since launched retaliatory strikes on Israel and U.S. bases in Gulf countries.
The pressure intensified further after Iranian Supreme Leader Mojtaba Khamenei reportedly said the Strait of Hormuz should remain closed as a way to pressure enemies.
The U.S. and its allies are also taking other steps to offset the disruption. Members of the International Energy Agency agreed on March 11 to release 400 million barrels from emergency reserves. The United States is contributing 172 million barrels from the Strategic Petroleum Reserve.
Energy Secretary Chris Wright said the releases will take about 120 days to deliver.
“This will take approximately 120 days to deliver based on planned discharge rates,” Wright said.
He also said the United States plans to replace more than it draws down.
“Unlike the previous administration, which left America’s oil reserves drained and damaged, the United States has arranged to more than replace these strategic reserves with approximately 200 million barrels within the next year,” Wright said.
The administration has argued that Trump’s broader energy agenda has helped strengthen U.S. production and cushion consumers from global shocks. Bessent called the current oil surge temporary.
For now, the new Treasury license gives buyers a narrow window to unload Russian oil already at sea while the administration works to prevent the Iran war from causing a deeper global energy crisis.