U.S. Grants Temporary Waiver to India for Russian Oil Purchases Amid Middle East Conflict

In response to escalating tensions in the Middle East, particularly due to the U.S.-Israeli attacks on Iran, the United States has issued a temporary 30-day waiver allowing India to purchase Russian oil already loaded onto tankers. This decision, announced by White House Press Secretary Karoline Leavitt, aims to ensure energy supplies while minimizing financial benefits to Russia.

The Hindu

The waiver permits Indian refiners to acquire approximately 30 million barrels of Russian crude oil that had been stranded at sea due to previous U.S. sanctions and India's earlier reductions in purchases. Indian companies, including state-owned Indian Oil Corporation and private-sector Reliance Industries, rapidly secured these barrels, with reports indicating they paid premiums of $2 to $8 above the benchmark Brent price. This buying spree occurred as Middle Eastern oil supplies faced disruptions, with shipments from Saudi Arabia and Iraq halted due to Iranian threats against vessels in the Strait of Hormuz.

Moscow TimesThe Hindu

Treasury Secretary Scott Bessent emphasized that the waiver is a "deliberately short-term measure" designed to alleviate immediate pressures on global energy supplies without significantly benefiting the Russian government. He noted that the waiver specifically covers oil loaded onto vessels before March 5, 2026, and aims to support India's energy needs while maintaining its commitment to reducing Russian oil imports. Bessent stated, "India is an essential partner of the United States, and we fully anticipate that New Delhi will ramp up purchases of U.S. oil."

The HinduMoscow Times

Despite the U.S. government's rationale, some critics argue that allowing India to purchase Russian oil, even temporarily, undermines the sanctions imposed on Moscow. European Economy Commissioner Valdis Dombrovskis highlighted that the waiver's scope and duration are limited, suggesting that the U.S. does not expect a substantial impact on Russian oil revenues from this decision.

The Hindu

India's imports of Russian crude averaged just under 1.1 million barrels per day in February 2026. The recent purchases, totaling around 30 million barrels, reflect India's previous monthly import levels. Brent crude prices fluctuated significantly, trading above $85 per barrel, with Russian crude previously selling at discounts of over $10 per barrel compared to Brent.

Moscow TimesThe Hindu

The situation remains fluid as the U.S. and India navigate their energy partnership amid ongoing geopolitical tensions. The temporary waiver is set to expire in 30 days, and its implications for future energy transactions between India and Russia will be closely monitored by international stakeholders.

The Hindu

• “President Trump's energy agenda has resulted in oil and gas production reaching the highest levels ever recorded.” — Scott Bessent, Treasury Secretary

The Hindu

• “They do not expect substantial impact of this on Russian oil revenues,” — Valdis Dombrovskis, European Economy Commissioner

Moscow Times