US refuses to extend waiver on Iranian oil as it mounts pressure on Tehran: Report

These decisions mark a shift away from the Trump administration’s earlier approach of using sanctions waivers to boost oil supply and stabilize global energy prices.

The United States has decided not to extend a 30-day sanctions waiver on Iranian oil shipments at sea that expires this week, and has also quietly allowed a similar waiver on Russian oil to lapse over the weekend.

According to a Reuters report, two administration officials confirmed the decision on Tuesday, as the US moves to tighten restrictions on oil exports from Iranian ports.

Treasury Secretary Scott Bessent, last month had said that the waiver, originally issued by the Treasury Department on March 20, had enabled around 140 million barrels of oil to reach global markets, easing energy supply pressures during the conflict with Iran. This waiver is set to expire on April 19. Meanwhile, the waiver covering Russian oil shipments expired on Saturday without renewal, added Reuters.

One official described Tuesday’s move as a sign that the Treasury is intensifying its economic pressure campaign against Iran, referencing “Economic Fury.” The administration has long maintained a strategy of “maximum pressure” targeting Iran’s nuclear program and its backing of militant groups in the Middle East, even as sanctioned oil has continued to find its way to China.

The report further added that the US officials also noted that Washington has additional tools at its disposal, including secondary sanctions on entities involved in illicit dealings with Iran, such as purchasing its oil. They warned that with the possible re-imposition of UN sanctions and Iran’s history of masking illegal activities through seemingly legitimate channels, any engagement with Tehran could risk further penalties.

Additionally, the Treasury has increased pressure on countries an administrations hosting banks that US says have facilitate Iranian financial activity. Letters were sent to China, Hong Kong, the UAE, and Oman identifying institutions allegedly involved, as reported by Reuters.