US Weighs U-Turn On Iran Oil Sanctions, May Free Stranded Tankers To Boost Supply

Show Quick Read

Key points generated by AI, verified by newsroom

The United States is considering a significant shift in its energy policy, with officials exploring the possibility of easing restrictions on Iranian oil currently stored aboard tankers at sea. The proposed move is aimed at increasing global supply and easing rising crude prices amid mounting geopolitical tensions.

U.S. Considers Easing Iranian Oil Sanctions

U.S. Treasury Secretary Scott Bessent indicated that Washington could soon permit a substantial volume of Iranian oil to enter the market. “In the coming days, we may allow Iranian oil that’s already on the water to enter the market—about 140 million barrels,” Bessent told Fox Business Network.

He added that such a release could provide a short-term buffer against supply disruptions, potentially stabilizing global oil prices for a brief period of around two weeks. The move would signal a notable departure from Washington’s long-standing strategy of using energy sanctions to exert pressure on Tehran over its nuclear ambitions.

Gulf Tensions Disrupt Critical Supply Routes

The policy rethink comes against the backdrop of escalating tensions in the Persian Gulf, where Iranian actions have disrupted shipping lanes. In particular, instability around the Strait of Hormuz—a key corridor for global energy trade—has raised alarm among markets and policymakers alike.

Roughly one-fifth of the world’s crude oil and liquefied natural gas passes through this narrow passage, making any disruption there a major concern for energy security worldwide.

Analysts estimate that more than 15 million barrels per day of oil flows have already been impacted by the ongoing turmoil, compounding fears of tighter supply.

Oil Markets React With Volatility

Global oil markets have responded sharply to the unfolding developments. Brent crude prices surged by as much as 10 percent before settling at a 5 percent increase, reaching $112.76 per barrel.

Traders remain cautious, warning that continued instability in the region could drive prices even higher despite temporary relief measures. The potential release of Iranian oil is seen as a stopgap rather than a long-term solution.

Broader Measures To Ease Energy Pressure

In parallel, President Donald Trump has introduced additional steps to mitigate energy costs, including a temporary suspension of a longstanding maritime law to streamline shipping operations.

Meanwhile, Asian economies—highly dependent on Gulf oil supplies—are increasingly seeking alternatives. Refiners in the region have begun turning toward U.S. crude imports as part of broader efforts to diversify supply chains.

As uncertainties persist and infrastructure risks remain elevated, the global energy market continues to navigate a fragile balance between supply shocks and emergency policy responses.