Weeks after removing a 25% tariff penalty on India for buying Russian energy, the US has issued a 30-day waiver allowing refiners to purchase Russian oil.
US Treasury Secretary Scott Bessent announced the measure, which is expected to help stabilise global energy markets following US-Israeli strikes on Iran.
The waiver, which is deliberately short-term, will not provide significant financial benefit to the Russian government as it only authorizes transactions involving oil already stranded at sea.
The Trump administration's decision was likely motivated by fears that the conflict with Iran would drive up global energy prices and stoke inflation within the US.
Indian refiners were forced to curtail relationships with Russian suppliers earlier last year after the US Treasury Department unveiled sanctions against energy giants Rosneft and Lukoil.
The reversal in the US position on India's Russian oil purchases comes amid escalating conflict in West Asia, with military hostilities between Iran, the US, and Israel sparking significant fears that global shipping, including energy supplies, will be disrupted.
