US Grants Temporary Waiver to India for Russian Oil Imports Amid Gulf Tensions

New Delhi/Washington, March 6: The United States has granted India a 30-day temporary waiver allowing Indian refineries to continue purchasing certain shipments of Russian oil, as escalating tensions in West Asia raise fears of a global energy price surge.

The waiver was announced by US Treasury Secretary Scott Bessent, who said the measure only permits transactions involving Russian oil cargoes that were already stranded at sea. According to reports, around 9.5 million barrels of  Russian crude were floating in Asian waters last week.

The exemption applies only to Russian oil loaded onto vessels before March 5 and will remain valid until April 4, 12:01 a.m. Washington time.

US officials said the move aims to ease pressure on global energy markets at a time when conflict involving Iran and the US-Israel alliance has heightened concerns over supply disruptions in the Gulf region.

Bessent said the decision was taken partly because India remains a key partner of the United States, while also expressing expectations that New Delhi may increase purchases of American crude in the future.

Tensions in the region intensified after Iran claimed it had closed the Strait of Hormuz, a critical shipping route that carries nearly 20% of the world’s oil and gas supply. The development has triggered fears of rising fuel prices and potential inflation in countries heavily dependent on Middle Eastern energy imports.

India has sought to reassure markets about its preparedness. Petroleum Minister Hardeep Singh Puri recently told Parliament that the country’s strategic petroleum reserves could meet demand for about 74 days in case of major supply disruptions.

The US waiver comes weeks after Washington suggested that India had indicated plans to scale back purchases of Russian crude, though Indian authorities have not formally confirmed such a commitment.

Russia, however, has dismissed speculation that India would reduce imports. Moscow has maintained that energy trade between the two countries benefits both economies and contributes to stability in global energy markets.