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US revokes Iran oil waiver after Hormuz attacks

1 week ago 30

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WASHINGTON — The Trump administration is revoking a temporary waiver that authorized the sale of Iranian oil as part of the two countries’ preliminary agreement to end their war.

Speaking on condition of anonymity, a US official said the revocation was the result of “wholly unacceptable” Iranian strikes on commercial vessels in the Strait of Hormuz this week.

Iran was required to reopen the strait as part of the memorandum of understanding reached between the two sides last month. On Tuesday, the UK’s Maritime Trade Operations center raised its threat level for the strait to “severe” after three vessels in or near the waterway were hit by “unknown projectiles” that US officials blamed on Iran.  

“As President Trump and the administration have repeatedly affirmed, the MOU in effect with Iran is entirely performance-based,” the official said in a statement. “Iran will only reap benefits if they exhibit good behavior."

On June 21, the Treasury Department issued a general license allowing the production, delivery and sale of crude oil and petrochemical and petroleum products of Iranian origin through Aug. 21. It allowed payments in US dollars to the government of Iran and blacklisted Iranian entities for oil purchases that would otherwise be prohibited under US sanctions.

Both Republicans and Democrats voiced concern over the administration’s decision to grant upfront sanctions relief to Iran before it made concessions on its nuclear program. The memorandum establishes a 60-day window for nuclear talks and says Washington will “terminate all types of sanctions” against Tehran as part of a final agreement.

This developing story has been updated.

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