The Trump administration is temporarily waiving sanctions on Iranian oil shipments already at sea — a rare step that marks the first time the U.S. has eased such restrictions since they were imposed following the 1979 Islamic Revolution.

Treasury Secretary Scott Bessent said the short-term move applies only to crude already loaded onto tankers, not new production, as the administration looks to ease soaring energy prices tied to the Iran conflict.

The waiver could release roughly 140 million barrels of oil into global markets, as disruptions in the Strait of Hormuz and regional fighting have sent prices sharply higher.

"This is a narrowly tailored, temporary step," Bessent said, stressing broader sanctions remain in place under the administration’s maximum pressure campaign.

U.S. sanctions on Iran’s oil sector have been a cornerstone of policy for decades, aimed at cutting off revenue to the regime after the 1979 revolution and subsequent hostage crisis. The restrictions have been repeatedly tightened in recent years to drive Iranian exports toward zero.

Officials say the current waiver is designed to stabilize global markets without providing long-term financial relief to Tehran.

Critics argue the move could still funnel money to Iran at a time of escalating conflict, even as the administration insists the impact will be limited because the oil was already in transit.