US refuses to extend general license on Russian, Iranian oil: US Treasury Sec says, ‘all that has been used…’

U.S. Treasury Secretary Scott Bessent stated on Wednesday that the United States will not extend the general license permitting limited transactions involving Russian and Iranian oil, citing continuing geopolitical tensions, as reported by ANI.

India, a major user of these exemptions, had benefited significantly.

"We will not be renewing the general license on Russian oil and Iranian oil. That was oil that was on the water prior to March 11th. All that has been used," Bessent said during a media briefing.

The United States announced Wednesday it is tightening sanctions against Iran's oil industry as Tehran keeps up its closure of the Strait of Hormuz as part of the Mideast war.

The new punishment targets oil transport infrastructure by slapping sanctions on more than two dozen people, companies and ships that operate within the network of petroleum shipping magnate Mohammad Hossein Shamkhani, the Treasury Department said.

"Treasury is moving aggressively with 'Economic Fury' by targeting regime elites like the Shamkhani family that attempt to profit at the expense of the Iranian people," US Treasury Secretary Scott Bessent said in a statement, alluding to a financial pressure campaign against Iran.

Shamkhani is the son of security official Ali Shamkhani, an advisor to Iranian supreme leader Ali Khamenei, both of whom were killed February 28, the first day of US-Israeli attacks and the start of the Middle East war.

Iran has effectively closed the Strait of Hormuz, a crucial route for global oil and gas shipments, in response to the ongoing U.S. and Israeli military campaign. In turn, the United States has initiated a naval blockade targeting Iranian ports.

The U.S. also claims that the Shamkhani network, operating across Iran and the United Arab Emirates, evades sanctions by using a network of seemingly legitimate consulting and shipping firms to manage its fleet.

The war has severely impacted shipping routes and damaged both military and civilian infrastructure across the region.

Despite the turmoil, oil prices have eased on hopes of a potential resolution, while U.S. stock markets on Wednesday surpassed their January highs.

“I think they want to make a deal very badly,” U.S. President Donald Trump said in an interview Wednesday on Fox Business Network’s “Mornings with Maria."

However, the fragile ceasefire remains uncertain, with the United States continuing its naval blockade, threatening to cut off Iran’s key economic lifelines.

In a social media post, Trump also claimed that China has agreed not to supply weapons to Iran, amid reports suggesting Beijing had been considering such transfers.

However, the U.S. government has long accused China of supporting Iran’s ballistic missile program through the provision of dual-use industrial components that can aid missile production.

(With inputs from agencies)