The U.S. Treasury Department attributed the easing of sanctions against Russia to requests from “poor countries”
23 April 06:49
U.S. Treasury Secretary Scott Bessent stated that the temporary waiver of sanctions against Russian oil had been extended following requests from more than 10 energy-vulnerable and low-income countries. He made this statement during a hearing in the U.S. Senate, explaining why the Donald Trump administration agreed to extend the exemption for certain transactions involving Russian oil for another 30 days. C-SPAN posted a video of the hearing on YouTube, reports "Komersant Ukrainian"
During the discussion, Democratic Senator Chris Coons criticized the administration’s decision to ease sanctions against Russia. According to him, such actions have already benefited Moscow and Tehran, and the administration’s change in position has caused disappointment.
“We must not finance [Russia’s illegitimate President Vladimir] Putin’s war in Ukraine,” Coons emphasized.
According to Reuters, Bessent explained that he had not initially planned to extend the relief, but during the week of World Bank and IMF meetings, he was approached by representatives of countries that are particularly dependent on energy imports. That is why Washington agreed to extend the exemption for another month.
“I thought we wouldn’t do this, but I was approached by more than 10 of the most vulnerable and energy-poor countries, and they asked us to extend this sanctions relief, which is only valid for 30 days,” Bessent noted.
What specific sanctions relief was extended
This refers to a temporary exemption that allows for the completion of transactions involving Russian oil and petroleum products already loaded onto ships without immediately falling under the full U.S. sanctions regime.
On April 17, the Trump administration extended this exemption for another 30 days, effectively until May 16.
However, Kuns emphasized that even a short-term exemption comes at a significant cost.
“30 days is $4.5 billion for Putin’s war machine,” the senator stressed.
This decision marked a notable reversal, as Bessent had publicly stated shortly before that the U.S. had no intention of extending exemptions for either Russian or Iranian oil.
The reason was energy tensions in global markets due to the war with Iran and risks to supplies through the Strait of Hormuz. Reuters reports that the U.S. explained these steps by the need to prevent an even greater oil shortage and a spike in prices for countries heavily dependent on energy imports.
According to Bessent, this was more of a short-term crisis response rather than a change in the overall sanctions policy toward Russia.
What this means for Russia and the market
Even a temporary easing of restrictions allows for avoiding a sudden halt to part of the trade in Russian oil that is already at sea or was shipped before the effective date.
For the global market, this reduces the risk of an immediate shortage, but critics of the decision point out that Russia retains an additional source of foreign exchange revenue that could be used to finance the war against Ukraine.
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