The US plans to extend the exemption for the purchase of sanctioned Russian oil for another month. They are thus responding to concerns about the lack of raw materials and rising prices after the crisis in Hormuz.
The American exemption for the purchase of sanctioned Russian oil and oil products transported by tankers is likely to be extended for another month. It expired on Saturday and the US Treasury is planning to extend it, a source familiar with the situation told Reuters on Monday, writes TASR.
- The United States is likely to extend the exemption for the purchase of sanctioned Russian oil.
- The current exemption expired on Saturday and its extension is being prepared.
- Several countries have asked Washington to extend the exemption due to concerns about oil shortages.
According to a Reuters source, several countries have asked the United States to extend the exemption as part of an effort to ease the consequences of oil shortages and high prices caused by Iran’s closure of the Strait of Hormuz. The agency states that extending the exemption would do little to stabilize prices.
Extension of exemption
The exception was originally extended until May 16, the previous one was supposed to end on April 11. The administration of US President Donald Trump has informed that it does not apply to transactions with Iran, Cuba and North Korea. The move was criticized by several US allies and US congressmen.
