U.S. Extends Sanctions Pause for Russian Oil Shipments

The U.S. Treasury Department extended a pause on sanctions for Russian oil shipments on Friday.

The extension applies to deliveries of Russian oil that had been loaded on tankers as of Friday. The pause will last for 30 days. This action extends a similar 30-day license that was issued in March for Russian oil loaded by March 11.

"We will not be renewing the general license on Russian oil, and we will not be renewing the general license on Iranian oil."

The statement above was made by Treasury Secretary Scott Bessent at the White House on Wednesday. The administration did not immediately provide an explanation for the reversal of this position.

Context and Background

The action is related to efforts to ease shortages resulting from the Iran war. The fallout from that conflict has increased Moscow's ability to profit from its energy exports, which had been restrained since the invasion of Ukraine.