Russia Boosts Oil Exports as US Eases Sanctions Amidst Strait of Hormuz Tensions

Moscow is capitalizing on rising crude oil prices and a temporary easing of US sanctions to significantly increase its oil exports, particularly to India. This comes as disruptions in the Strait of Hormuz, a critical global oil transit route, continue to rattle energy markets.

Rising Oil Prices and US Policy Shift

Russia swiftly increased crude oil loadings onto tankers in response to escalating oil prices, spurred by tensions in the Strait of Hormuz and a US tariff exemption allowing buyers to acquire Russian oil without facing sanctions [1]. The US Treasury issued a 30-day license on March 13, 2026, permitting countries to purchase Russian oil and petroleum products that were stranded at sea, aiming to stabilize global energy markets [2]. A similar waiver was specifically granted to India, allowing refiners to procure Russian crude already in transit or stranded [3], [4].

Impact on Russian Exports

Russian seaborne oil exports averaged 3.44 million barrels per day in the four weeks leading up to March 15, 2026, according to ship tracking data [1]. This represents an increase of approximately 90,000 barrels per day compared to the previous period, though it remains below pre-Christmas peak levels. Weekly export value jumped to an average of $2.07 billion in the week ending March 15, an $890 million increase from the prior week, driven by rising prices [1].

The resumption of shipments from the Novorossiysk oil terminal on the Black Sea, following a Ukrainian drone strike, and increased shipments from Arctic and Pacific ports contributed to the surge in exports [1]. Deliveries to India have seen a significant boost, with some tankers diverting from routes towards the Strait of Malacca to head directly to Indian refineries [1].

Geopolitical Context and US Response

The US policy shift comes amid broader efforts to stabilize global energy markets impacted by disruptions in the Middle East, including attacks on tankers in the Strait of Hormuz and strikes on energy infrastructure [2]. The US also suspended maritime restrictions and lifted sanctions on Venezuela to allow PDVSA to sell oil directly on the world market [1]. Iran continues to sell oil despite the ongoing conflict, with 90 Iranian oil tankers passing through the Strait of Hormuz, under its control [1].

Key Takeaways

• Russia is increasing oil exports due to rising prices and eased US sanctions.
• India is a key destination for Russian crude, benefiting from the US waiver.
• Disruptions in the Strait of Hormuz are a major driver of the current energy market volatility.
• The US is taking steps to stabilize global energy markets through multiple policy adjustments.