The Trump administration may suspend sanctions on Iranian oil already at sea in a bid to clamp down on energy prices that have shot up amid the war in the Middle East, Treasury Secretary Scott Bessent said Thursday.
It’s the latest play weighed by the administration to stabilize the oil market against price shocks since the U.S. and Israel launched their joint operation in February. The maneuver could free up 140 million barrels of Iranian oil for global use, Bessent said.
“In essence, we will be using the Iranian barrels against the Iranians to keep the price down for the next 10 or 14 days, as we continue this campaign,” he said on Fox Business.
It’s one of several “levers” Bessent said the administration has at its disposal, as Iranian attacks cripple the Strait of Hormuz, a critical waterway that carries roughly 20 percent of the world’s oil supply. The administration could also make more oil from the Strategic Petroleum Reserve available, Bessent added. The administration already started making 172 million barrels from the SPR available.
