Bessent later confirmed the move in a post on X. “This general license will help stabilize the physical crude market and ensure oil reaches the most energy-vulnerable countries,” he wrote.
The U.S. paused sanctions on Russian oil for 30 days immediately after the start of the war on Iran in February, which fueled a spike in global oil prices and inflation.
“It will also help reroute existing supply to countries most in need by reducing China’s ability to stockpile discounted oil,” Bessent added.
By allowing other countries to buy Russian oil, Washington’s end goal is to increase global supply and curb prices for households and businesses.
However, Bessent’s announcement came as a surprise to Washington’s European allies, after he told them last month he would end the sanctions waiver after its expiry on May 16, one official from a European G7 country said.
Ministers meeting in Paris focused on the economic effects of the war in the Middle East on Monday.