Trump May Lift Ban on Iranian Oil; US Treasury Secretary Makes Major Announcement!

Trump May Lift Sanctions on Iranian Oil: Scott Bessent (Photo: Reuters)

US Treasury Secretary Scott Bessent stated on Thursday March 19, 2026 (IST) that, in an effort to boost global supply and help lower prices, the United States may soon lift sanctions on Iranian oil currently stranded in tankers. Bessent noted that the re-entry of this sanctioned Iranian oil into the global supply chain would help keep oil prices down over the next 10 to 14 days.

Amidst ongoing tensions in the Middle East, the United States has taken a historic decision to increase global oil supply and reduce prices. US Treasury Secretary Scott Bessent has signaled that the US may soon lift sanctions on approximately 140 million barrels of Iranian oil currently stranded in tankers at sea. He explained that this measure is being taken with the specific objective of lowering global oil prices.

Speaking on Thursday during the Mornings with Maria program on the Fox Business Network, US Treasury Secretary Scott Bessent said, “In the coming days, we may lift sanctions on the Iranian oil currently located at sea.” It is reported that approximately 140 million barrels of oil are currently held aboard these stranded vessels.

He further explained that this volume of crude oil is equivalent to a 10-day to two-week supply within the global market—a quantity that could significantly assist in meeting the world’s oil requirements.

Massive Surge in Crude Oil Prices

He noted that this initiative is being undertaken to boost global oil supply and bring down skyrocketing prices. For the past two weeks, crude oil prices have remained above $100 per barrel, largely due to Iran’s closure of the Strait of Hormuz. The US aims to utilize this supply to bridge the current market deficit, estimated at 10 to 14 million barrels per day. The release of these 140 million barrels into the market will help ensure a smooth and steady supply over the next 10 to 14 days.

Keeping Prices Under Control

According to Scott Bessent, the United States is, in effect, going to use Iran’s own oil against Iran itself, in order to keep prices under control. He clarified that this oil was originally destined for China, but it will now be made available to the global market.

Besent stated that the U.S. is not intervening in financial markets or the oil futures market; rather, it is directly increasing supply in physical markets.

Prior to this, the Treasury had taken a similar step regarding Russian oil, resulting in an additional supply of 130 million barrels of oil in the market.

Meanwhile, to address the oil shortage, the U.S. is also preparing to release stocks from its Strategic Petroleum Reserve (SPR). This will be in addition to the 400 million barrels of shared stock released by G7 nations last week.

Besent described China as an “unreliable” supplier of refined products, noting that it has ceased exporting jet fuel and other products to other Asian nations. The objective of all these efforts is to offset the daily deficit of 14 million barrels caused by the closure of the Strait of Hormuz.

Trump to Meet with Japanese PM

He also revealed that on Thursday, U.S. President Donald Trump will hold a crucial meeting at the White House with Japanese Prime Minister Sanae Takaichi. The primary agenda of this discussion is to ensure the safe passage of vessels through the Strait of Hormuz via the Japanese Navy, as Japan sources the majority of its oil requirements from that region.

It is anticipated that Prime Minister Takaichi may also agree to release additional oil from her country’s strategic reserves. Describing Takaichi as pro-American, Besent remarked that this discussion would be instrumental in resolving the supply crisis.