The Trump administration on Friday renewed a waiver allowing countries to purchase sanctioned Russian oil at sea for approximately one month, extending it until May 16. The renewal came just two days after the administration had indicated it had no plans to extend the waiver.
The US Treasury Department’s waiver permits countries to buy Russian oil and petroleum products loaded on sanctioned vessels. It replaces a previous 30-day waiver that expired on April 11 and excludes transactions involving Iran, Cuba, and North Korea.
The reversal was driven by pressure from oil-importing nations that rely on Russian crude to meet their energy needs. The decision is part of Washington’s broader effort to manage global energy prices that have surged during the US-Israeli conflict with Iran.
For Sri Lanka, the renewal is a significant positive development. The country has been exploring Russian oil supplies as an alternative to Middle Eastern crude during the Hormuz crisis. Combined with Iran’s declaration that Hormuz is now fully open and Brent crude falling to approximately $88 per barrel, Sri Lanka now has two major energy-positive developments working in its favour.
The waiver provides a one-month window of certainty for nations like Sri Lanka that are diversifying their energy procurement away from exclusive reliance on Gulf suppliers disrupted by the ongoing conflict.
