Status of Russian oil sanctions uncertain as Trump vows to blockade Strait of Hormuz

Prefer on Google by Abbey Fenbert U.S. President Donald Trump walks toward reporters before answering questions prior to boarding Air Force One on April 10, 2026 at Joint Base Andrews, Maryland. (Win McNamee/Getty Images) Editor's Note: This is a developing story. U.S. President Donald Trump announced on April 12 that the United States would blockade the Strait of Hormuz, after negotiations with Iran in Pakistan failed to reach a deal to end the six-week war in the Middle East. The news points to further disruption in global energy markets, as the closure of the key waterway — through which 20% of the world's oil transits — stalls shipping traffic. The announcement also raises questions about the temporary waiver of U.S. sanctions on Russian oil, which expired April 11. Trump announced plans to blockade the Strait after peace talks in Pakistan, led by U.S. Vice President JD Vance, failed to secure a peace deal. The talks came amid a two-week ceasefire Trump declared on April 7, which he said was conditional on the reopening of the Strait of Hormuz. Trump claimed that the Pakistan negotiations "went well" but that Iran did not agree to suspend its nuclear program, leading to a stalemate. "Effective immediately, the United States Navy, the Finest in the World, will begin the process of BLOCKADING any and all Ships trying to enter, or leave, the Strait of Hormuz," Trump wrote in a post on Truth Social. A naval blockade is an act of war, and the failure to reopen the passage puts further pressure on energy markets amid a global surge in oil prices. This pressure has already led to windfall profits for Russia , which doubled its daily oil export revenues in the wake of the U.S.-Israeli attacks on Iran. The U.S. Treasury Department on March 12 issued a temporary license permitting countries to buy Russian oil stranded at sea, calling it an effort to stabilize energy markets worldwide. The license was set to expire on April 11. According to Reuters, U.S. Treasury Secretary Scott Bessent met with Trump at the White House on April 9 to discuss extending the waiver . Both agreed it was a good idea, one source told Reuters, speaking on condition of anonymity. The following day — one day before the waiver expiration — Kremlin envoy Kirill Dmitriev visited the U.S. He said the license could free up to 100 million barrels of Russian crude — roughly equivalent to about a day of global oil output. Bloomberg also reported on April 10 that a number of Asian nations, including India and the Philippines, had urged the U.S. to extend the sanctions waiver. The U.S. has not yet publicly announced plans to extend the temporary license. The Kyiv Independent has reached out to the White House and the U.S. Treasury Department for comment.