The temporary sanctions waiver had allowed India to purchase discounted Russian oil without penalty.
The U.S. government has allowed an April 17 sanctions waiver on certain Russian oil shipments to expire, ending a policy that permitted some Russian crude already loaded onto tankers to continue being sold and transported through global markets without triggering U.S. sanctions penalties.
The U.S. Department of the Treasury’s Office of Foreign Assets Control did not reissue the Russia-related waiver. It was introduced in April as global energy markets faced pressure from the Middle East conflict and the disruptions that have occurred at the Strait of Hormuz, one of the world’s most important oil shipping routes. An estimated 20 million barrels of crude and petroleum products traveled through that waterway each day before the U.S. and Israeli war on Iran.
India became one of the world’s biggest buyers of Russian oil after the United States and its allies imposed sanctions on Russia following its 2022 invasion of Ukraine.
India’s annual crude imports were about $2 billion prior to the war and had increased to nearly $53 billion by 2024.
The temporary sanctions waiver allowed India to purchase discounted Russian oil. It helped India lower energy costs while allowing Russia to continue bringing in billions of dollars in oil revenue during its war on Ukraine.
The move also highlighted the challenge facing Washington as it has tried to sustain pressure on Russia while maintaining close ties with India, a major U.S. ally.
The Trump administration has pressured countries to stop buying oil from Russia, which helps fund its war.
Trump said at a press briefing in October 2025 that China should also stop buying Russian oil. The president visited China in mid-May, where he urged the Chinese regime to support U.S. efforts to keep open the Strait of Hormuz.
The International Energy Agency (IEA) warned May 13 that global oil markets remain under severe pressure from the Middle East conflict and disruptions around the Strait of Hormuz.
By Tom Gantert
