U.S. Authorizes Sale of Iranian Oil in 60-Day License as Part of Peace Deal

The U.S. Treasury Department has issued a 60-day license allowing Iran to sell oil and petroleum products through August 21, 2026, as part of a peace agreement signed by President Donald Trump on June 17, 2026. The temporary waiver marks a significant shift from decades of strict U.S. sanctions, opening the door to easing restrictions and potentially reviving Iranian oil exports beyond China. The license permits Iran to sell energy exports globally, including the possibility of U.S. imports of Iranian crude—a move not seen since the 1990s, according to U.S. Energy Information Administration data. The agreement also requires the U.S. to lift its blockade of Iranian ports and eventually release billions of dollars in frozen Iranian assets held in various jurisdictions. Iran had already been expediting the shipment of millions of barrels of oil since the peace pact was announced, with most of its crude previously flowing to China. The easing of sanctions could alleviate global supply disruptions caused by recent conflicts in the Strait of Hormuz, though shipowners, traders, and buyers now face the challenge of re-engaging with Iranian oil markets after years of sanctions. The Treasury Department hinted at additional licenses likely being issued in the coming days. However, the policy shift has drawn criticism domestically, with some Republicans and other critics arguing that the concessions could provide Iran with an economic lifeline that may fund regional terrorism. The deal comes as Iran’s economy remains under severe strain from years of sanctions and currency depreciation, compounded by widespread anti-government protests prior to the U.S.-Israel conflict that began on February 28, 2026.