The US on Monday issued a general licence for Iran, which authorises the production, delivery and sale of crude oil as well as petrochemical and petroleum products of Iranian origin until August 21.
The licence will also enable the import of Iranian oil products to the US when necessary for sale or delivery, according to the Treasury Department, although it does not permit transactions involving Cuba or North Korea.
“Under President [Donald Trump] and [Vice President JD Vance], we continue to make the world safer and more prosperous,” Treasury Secretary Scott Bessent said in a post on X explaining the general licence.
“In line with the continuing productive talks in Switzerland, Iran has committed to free and open transit in the Strait of Hormuz and to permit International Atomic Energy Agency inspectors into their country.
“As part of the framework, Treasury has issued a temporary 60-day general licence authorising the production, delivery, and sale of Iranian oil.”
Prior to Monday’s announcement, most if not all of Iran’s crude had been going to China, offering refineries in the Asian country cheap barrels.
Shipowners, traders and buyers will now have to evaluate whether they have time to source, finance and complete such purchases, after years of not dealing with Iran because of sanctions. Iran also has a large fleet of ships that can deliver the country’s cargoes.
It comes after the US and Iran held negotiations in Switzerland at the weekend aimed at ending the war.
Tehran and Washington signed an agreement last week, in which the US agreed to issue waivers for the export of Iranian crude, petroleum products and derivatives, as well as all associated services, including banking transactions, insurance and transport.
Before the agreement, the US had engaged in a maximum pressure campaign against Iran, issuing heavy sanctions against the country's oil industry.
