Treasury Secretary Scott Bessent’s potential move to temporarily lift sanctions on Iranian crude oil stranded on tankers could define the administration’s response to the ongoing energy price crisis, analysts said after his Thursday announcement. Bessent revealed the US is considering the measure as part of its effort to bring down oil prices that have remained above $100 per barrel since Iran’s closure of the Strait of Hormuz.
The Hormuz closure has been one of the most consequential events for global energy markets in recent years, removing between 10 and 14 million barrels of daily oil supply from global circulation for close to two weeks. The sustained price surge has created significant economic pressure on oil-importing nations and has forced the administration to consider measures of increasing scale and ambition.
Bessent confirmed that approximately 140 million barrels of Iranian crude are stranded on tankers in international waters, oil originally destined for Chinese ports. A targeted temporary sanctions waiver could redirect this oil to global buyers, providing roughly two weeks of supply relief during the ongoing US campaign against the Hormuz blockade.
The plan draws on a precedent set by a Treasury waiver for Russian oil that contributed approximately 130 million barrels to global supply. An additional unilateral US Strategic Petroleum Reserve release beyond the G7’s 400 million barrel coordinated commitment is also being planned, alongside the administration’s firm policy against engagement in financial oil market instruments.
Analysts suggested the Iranian crude gambit could come to define how history views the administration’s energy crisis response — either as an innovative and pragmatic measure that provided critical relief, or as a strategic error that financially empowered an adversary. Compliance experts and national security specialists warned that any Iranian oil revenues, however narrowly the waiver is designed, would benefit the Tehran regime and could fund military activities and proxy support, potentially prolonging the very conflict that created the crisis.