The administration of Donald Trump has renewed a temporary exemption allowing countries to purchase Russian oil and petroleum products via sea routes, reversing an earlier indication that such waivers would not be extended. The exemption will remain in effect for about one month.

According to a notification issued by the US Department of the Treasury, Russian oil loaded onto ships from Friday can be purchased until May 16, 2026. The decision is seen as an effort to stabilise global energy markets amid rising geopolitical tensions.

India has stated that the development will not impact its energy procurement strategy, noting that it will continue to source crude oil and LPG from Russia as part of its balanced approach to meeting domestic demand.

The move comes against the backdrop of heightened tensions in West Asia, which have contributed to volatility in global oil prices. However, the exemption does not apply to transactions involving Iran, Cuba, or North Korea.

Earlier, US Treasury Secretary Scott Bessent had indicated that waivers on Russian and Iranian oil were unlikely to be extended. He had also noted that earlier exemptions for Iran had added significant volumes to global supply, helping ease pressure on markets.

Russian Presidential envoy Kirill Dmitriev said the renewed waiver could bring around 100 million barrels of Russian crude into the market, roughly equivalent to one day of global oil production.

Experts believe the temporary extension may slightly increase supply, but a major decline in global petroleum prices remains unlikely in the near term.