The US has made it clear to European allies that any further easing of sanctions on Russian oil would largely be limited to supplies to India, according to sources familiar with the situation, Bloomberg reports, writes UNN.
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US President Donald Trump on Monday suggested he might lift "some oil-related sanctions to lower prices" but provided no further details beyond acknowledging he had discussed the topic with Kremlin chief Vladimir Putin in a phone call earlier that day. The US has already granted India permission to import Russian oil at sea.
Trump cancels sanctions against countries buying Russian oil10.03.26, 00:56
During a phone call between G7 finance ministers on Monday, the US stressed that the decision regarding India "was largely limited in both time and scope of measures," said EU Economy Commissioner Valdis Dombrovskis.
"They do not expect a significant impact of this on revenues from Russian oil," Dombrovskis said at a press conference on Monday evening, after joining the G7 call earlier.
"The US stressed that any further easing of sanctions would be similarly framed," sources familiar with the situation said. They also warned that the final decision rests with Trump.
Oil production cuts in the Middle East are intensifying, as the crucial Strait of Hormuz remains virtually closed. On Monday, due to these restrictions, the price of oil approached $120 per barrel.
Oil price exceeds $100 for the first time since Russia's invasion of Ukraine09.03.26, 02:53
On Monday, Trump said that the US and Israel are making significant progress in the war with Iran and could end the conflict "very soon," which curbed the sharp rise in oil prices.
Oil prices plummet after Trump's predictions of war's end10.03.26, 09:37
However, as the war drags on, G7 countries said on Monday that they are ready to release strategic oil reserves if needed. However, some member countries believe that the conditions for such a release have not yet been met, sources familiar with the situation said.
G7 leaders may hold a phone call later this week to discuss the war in Iran, the publication writes.
G7 not yet planning to use strategic oil reserves due to war in Iran09.03.26, 18:31