US considers easing sanctions on oil tankers to expand global shipping capacity

15:25

By: Azzat Manal

US considers easing sanctions on oil tankers to expand global shipping capacity

The United States is reportedly considering a plan to return certain oil tankers affected by sanctions to international commercial operations, including vessels linked to Russia. According to the Financial Times, the proposal under discussion by the administration of President Donald Trump could allow sanctioned ships to be sold to legally operating companies before restrictions on their activities are lifted.

The potential policy shift comes amid rising fuel costs and growing pressure on energy markets. By making additional tankers available to the mainstream shipping industry, Washington hopes to increase transport capacity for crude oil and refined petroleum products while reducing freight costs that can contribute to higher prices for consumers and businesses.

Under the reported approach, eligible vessels could be transferred to legitimate operators and subsequently removed from sanctions lists, allowing them to conduct commercial activities under fewer restrictions. The measure would represent a possible adjustment in the US approach to maritime sanctions, although its scope and implementation would depend on decisions that have yet to be finalized.

However, analysts have questioned whether the initiative would significantly ease pressure on fuel prices. Energy consultancy Energy Aspects estimates that between 13% and 19% of the world's oil tanker fleet is subject to US sanctions. Yet many of these vessels are older and may not meet the maintenance and operational standards expected of ships serving major commercial operators.

The condition of the affected fleet could limit the amount of additional capacity available in the short term. Energy Aspects has suggested that lifting restrictions on ageing vessels that may have received inadequate maintenance would be unlikely to produce a substantial or immediate increase in the effective capacity of the mainstream tanker market. The consultancy also noted that many tankers sanctioned over links to Russia or Venezuela had continued trading in recent months.

Research group Kpler has similarly questioned the potential impact of the proposal, suggesting that easing tanker sanctions alone would do little to resolve the current shipping pressures. Its assessment points to escalating geopolitical risks, particularly the threat of a wider conflict in the Middle East, as a major factor behind higher fuel prices. This suggests that additional vessels may not be enough to offset disruptions or uncertainty affecting energy supply routes.

The reported discussions follow a separate decision by Trump to temporarily ease restrictions on Russian diesel supplies, a move that has drawn criticism from some European allies and members of both parties in the US Senate. Critics argue that relaxing restrictions could weaken the economic pressure placed on Moscow over its war in Ukraine. Italian Prime Minister Giorgia Meloni has also voiced concerns, describing the prospect of purchasing Russian diesel as highly risky and warning that it could undermine international efforts to pressure Russian President Vladimir Putin.

The US Treasury Department subsequently issued a licence permitting certain transactions involving Russian-origin diesel, including sales, delivery, transfer, discharge and import operations, through April 7, 2027. Reports in US media have suggested that Russian petroleum products could reach the American market within the following two weeks. The proposed tanker initiative, however, remains under consideration, and its practical impact would depend on the number and condition of eligible vessels, regulatory requirements and the broader geopolitical outlook.