The U.S. government announced on Thursday, March 5, 2026, that it is temporarily waiving existing sanctions to allow India to import Russian crude oil for one month — through April 3 — citing disruptions to global energy supplies caused by escalating conflict in the Middle East.
Temporary Measure Amid Energy Uncertainty
According to a document released by the U.S. Department of the Treasury, the waiver applies only to shipments already en route at the time of the announcement — meaning crude oil already loaded and at sea before the waiver took effect. It does not authorize new purchases or shipments originating after the decision.
Treasury Secretary Scott Bessent stated on X that the measure aims to keep oil flowing into global markets. ‘This temporary action will not deliver significant financial benefit to the Russian government,’ he said, emphasizing that only pre-existing maritime shipments are covered. He added that deliveries to India would help ease pressure stemming from Iran’s attempts to leverage global energy supplies.
The Treasury clarified that the waiver explicitly excludes Iranian-origin oil.
Background: Sanctions and India’s Oil Strategy
Since 2022, the U.S., the European Union, and other G7 nations have progressively imposed multiple rounds of sanctions targeting Russia’s oil sector — part of broader efforts to limit Moscow’s ability to finance its war in Ukraine.
India, however, has continued — and even increased — its purchases of discounted Russian crude, becoming one of the largest buyers after China. In response, former U.S. President Donald Trump imposed 25% additional tariffs on select Indian goods in August, later reduced under a bilateral agreement between Washington and New Delhi.
A recent U.S. Supreme Court ruling struck down much of Trump’s proposed tariff regime — including parts affecting Indian exports — though new 10% tariffs on a broad range of Indian imports were reinstated on February 24.