The Trump administration may be preparing to lift sanctions on Iranian oil stranded on tankers as part of its effort to stabilize global energy prices, Treasury Secretary Scott Bessent indicated Thursday. The announcement has prompted vigorous debate over whether the short-term supply benefit outweighs the broader strategic risks.
Oil prices have climbed and held above $100 per barrel since Iran’s closure of the Strait of Hormuz disrupted the global supply of an estimated 10 to 14 million barrels per day. The blockade has created an acute supply crisis that has pushed governments worldwide to seek emergency measures to prevent economic fallout.
Bessent disclosed that approximately 140 million barrels of Iranian crude are currently stranded on tankers at sea, oil that had previously been destined for China. He presented the potential sanctions waiver as a tactical tool to inject supply into global markets for an estimated 10 to 14 days — directly countering Iran’s economic strategy of using the strait’s closure to drive up prices.
The plan builds on precedents set earlier in the crisis, including a waiver that allowed Russian oil stranded on tankers to be sold, contributing around 130 million barrels to global supply. Bessent confirmed that the US will also draw down its Strategic Petroleum Reserve unilaterally, beyond the 400-million-barrel commitment already made by G7 nations.
Experts from sanctions compliance and geopolitical strategy fields expressed serious reservations. They cautioned that allowing Iran to profit from oil sales — even oil already en route to buyers — could generate significant revenue for the Iranian government’s military and security operations. Critics described the measure as a policy contradiction that may weaken long-term US leverage against Iran.