US considers lifting more sanctions on Russian oil as Iran conflict sees global prices surge

Amid surging global oil prices due to the US-Iran conflict, the US Treasury is considering lifting sanctions on more Russian oil to increase supply. Treasury Secretary Bessent stated this action aims to alleviate market pressures, not ease restrictions related to the Ukraine war. This follows a temporary authorization allowing India to purchase stranded Russian oil until April 2026. The US government insists these measures are to provide market relief during the conflict, as high oil prices negatively impact both domestic and international markets. Kremlin economic advisor Dmitriev confirmed discussions with the US, arguing that sanctions have harmed the global economy.

Amid the ongoing US-Israeli war on Iran in March 2026, the Kremlin reports a significant increase in global demand for Russian oil and gas. The conflict has effectively shut down the Strait of Hormuz, disrupting a fifth of global oil and liquefied natural gas supplies. Russia, despite its own war in Ukraine, asserts its reliability as an energy supplier via pipelines and in liquefied form. This surge in demand comes as the US Treasury issued a 30-day waiver allowing India to purchase Russian oil stuck at sea, following pressure and tariffs aimed at curbing such purchases. However, the International Energy Agency warns against a return to reliance on Russian energy, deeming it economically and politically unsound.