Trump Considers Easing Russia Oil Sanctions to Reduce Rising Global Prices

SNN – U.S. President Donald Trump is considering easing oil sanctions on Russia and releasing emergency crude reserves as part of several options aimed at lowering rising global oil prices amid the ongoing conflict involving Iran, according to multiple sources.

The discussions highlight concerns within the White House that the sharp rise in oil prices following more than a week of U.S. and Israeli strikes on Iran could negatively impact American consumers and businesses ahead of the upcoming November midterm elections.

Speaking to reporters in Florida on Monday, Trump said his administration was removing certain sanctions on some countries as part of efforts to stabilize the oil market, though he did not provide specific details.

“So we have sanctions on some countries. We’re going to take those sanctions off until the Strait is up,” Trump said, referring to the Strait of Hormuz, a key global shipping route.

Easing sanctions on Russia could increase global oil supply at a time when shipments from the Middle East are being disrupted by the expanding conflict involving Iran. However, such a move could complicate U.S. efforts to limit Russia’s revenue related to its war in Ukraine. Trump also noted that he had a “very good call” with Russian President Vladimir Putin regarding the Ukraine conflict.

Analysts say the White House has limited immediate options to bring down oil prices unless shipping through the Strait of Hormuz — the narrow waterway between Iran and Oman that carries about one-fifth of the world’s oil supply — returns to normal levels.

A previously announced plan by the U.S. government to provide naval escorts and insurance support for tankers passing through the Strait has so far had little impact on restoring shipping traffic.

One option under discussion involves easing sanctions to allow certain countries to purchase Russian oil without facing U.S. penalties. Last week, the United States issued a temporary waiver allowing India to buy some Russian oil shipments to offset supply disruptions from the Middle East.

At the same time, U.S. officials have been in talks with partners in the Group of Seven (G7) about a possible coordinated release of crude oil from strategic reserves.

U.S. Energy Secretary Chris Wright confirmed that the government is considering sales from the U.S. Strategic Petroleum Reserve, though no final decision has been made. He also stated that the administration is not considering limiting U.S. energy exports to control prices.

Other policy options being discussed include intervening in oil futures markets, temporarily waiving certain federal fuel taxes, and suspending parts of the Jones Act, which requires domestic fuel shipments to be carried on U.S.-flagged vessels.

Despite the surge in prices, Trump said on social media that the increase would likely be temporary and described it as “a very small price to pay.”

Global oil prices recently climbed to levels not seen since mid-2022, briefly reaching about $119 per barrel, while gasoline and fuel costs have also increased since the start of U.S. and Israeli strikes on Iran.

The White House has asked federal agencies to propose measures that could help reduce pressure on crude oil and gasoline prices, with senior officials including White House Chief of Staff Susie Wiles and adviser Stephen Miller involved in the discussions.