America’s shocking U-turn in the oil crisis! Trump administration gives temporary exemption to buy Russian oil stuck in the sea

Washington/New Delhi: America has taken an unexpected step in the global oil market amid increasing tensions in the Middle East and the threat of war related to Iran. The Trump administration has given temporary permission to countries that want to buy Russian crude oil and petroleum products stranded in the sea. This decision has come at a time when Brent crude prices are skyrocketing and the fear of fuel crisis has deepened across the world.

US Treasury Department announcement

The US Treasury clarified that the special license is being issued for a limited period. Under this license, delivery and sale of Russian oil already loaded on ships, which was stuck at various ports due to sanctions or stuck in transit, will be allowed.

Treasury Secretary Scott Besant said, “President Trump’s focus is on bringing stability to global energy markets. We do not want oil prices to spiral further out of control due to increased risks in the Strait of Hormuz. This action is to keep the supply chain smooth and keep prices in check.”

No benefit to Russia, only relief to the market

The US administration claims that this exemption will not bring additional economic benefits to Russia. Because most of Russian oil’s earnings come from taxes levied at the time of production, not from exports. Also, this permission will apply only to cargo that is already at sea – not to new production or new contracts.

India has already taken advantage

It is noteworthy that some time ago America had also given temporary exemption of 30 days to India to buy Russian oil. Despite strict sanctions imposed after the Ukraine war, India had increased oil imports from Russia at concessional rates. Now this new license will give similar relief to other countries also.

Why did you take this step?

– Iran-Israel tension and possible war threaten shipping in the Strait of Hormuz
– Fear of 15-20% reduction in global oil supply
– Inflation pressure in America and Europe due to sharp rise in prices of petrol and diesel
– Efforts to control prices by increasing the availability of oil in the market.

What are analysts saying?

Global energy experts believe that if the situation in the Middle East worsens, Brent crude could go up to $100-120 per barrel. In such a situation, this U-turn of America is being considered as a step to provide immediate relief to the market, although it remains to be seen how effective this policy will be in the long run.