Photo credit: Shutterstock\/Igor Grochev<\/p>\n
U.S. Will Let Iran Oil Waiver Expire as Blockade Tightens Grip on Global Flows<\/p>\n
By Timothy Gardner and Andrea Shalal<\/p>\n
WASHINGTON, April 14 (Reuters)\u00a0\u2013\u00a0The Trump administration will allow a 30-day<\/p>\n
on Iranian oil at sea to expire later this week, two administration officials told Reuters on Tuesday, as the U.S. imposes a<\/p>\n
on shipments from Iranian\u00a0ports.<\/p>\n
The move signals that \u201cTreasury is going full force on Economic Fury,\u201d on Iran, an apparent reference to Operation Epic Fury, the U.S.-led military campaign against the country, one of the officials said.<\/p>\n
The Trump administration has long said it is applying \u201cmaximum pressure\u201d on Iran over its nuclear program and support\u00a0for militants across the Middle East, though sanctioned oil has continued to\u00a0reach China.<\/p>\n
The waiver, which the Treasury Department<\/p>\n
, allowed some 140 million barrels of oil to reach global markets and helped relieve pressure on energy supply during the war on Iran, Treasury Secretary Scott Bessent said last month. The waiver is set to expire on April 19.<\/p>\n
The move to not renew the waiver on oil\u00a0follows lawmakers\u00a0from both political parties criticizing\u00a0the administration for temporarily relaxing sanctions on Tehran and Moscow, while the U.S. and Israel are at war with Iran and as Moscow continues its war with Ukraine. The U.S. also did not renew the waiver on Russian oil at sea which expired on Saturday, the sources said.<\/p>\n
Washington has a range of penalties it can apply to institutions involved in illicit activities with Iran such as buying its oil, including secondary sanctions, one of the sources said.<\/p>\n
\u201cIn addition, with the snapback of U.N. sanctions on Iran, and its history of trying to hide behind seemingly legitimate activity to conduct its illicit conduct, any activity with Tehran could trigger additional sanctions,\u201d the person said.<\/p>\n
Treasury Secretary Scott Bessent told reporters earlier that the U.S. blockade of the Strait of Hormuz would ensure that no Chinese ships or others would be allowed to pass.<\/p>\n
\u201cSo they\u2019re not going to be able to get their oil. They can get oil. Not Iranian oil,\u201d Bessent said, adding that China had been buying more than 90% of Iranian oil and it constituted about 8% of their annual purchases.<\/p>\n