Trump Officials Weigh Freeing Blacklisted Tankers To Cut Record Shipping Costs

The Trump administration is reportedly weighing whether to let blacklisted tankers haul legal oil as record shipping costs squeeze American crude sales overseas.

The administration is discussing relief for so-called shadow fleet ships — which have carried oil from Russia, Iran and Venezuela — to bring down record freight rates, a U.S. official told Reuters Wednesday. The discussions come days after the Treasury Department said its Oct. 8 sanctions round “effectively neutralizes the vast majority of Iran’s remaining shadow fleet network.”

The talks focus on allowing crude and fuel not under U.S. sanctions to travel on blacklisted ships, with companies needing the Treasury Department’s approval to use them, according to the official. Russian and Iranian oil would remain off-limits, the outlet reported.

The Energy Department and the White House did not immediately respond to the Daily Caller News Foundation’s requests for comment. The Treasury Department did not provide a comment on the record.

Energy Secretary Chris Wright told the World Petroleum Congress in a recorded video shown in Saudi Arabia that officials were discussing relief to lower freight costs that have hurt demand for American crude, according to research group Energy Aspects, Reuters reported. The outlet said it was unable to get the complete video or a transcript.

The Energy Department told the outlet that easing the restrictions would not help Russia ship oil or fuel, while the Treasury Department directed Reuters’ questions to the Energy Department.

The Treasury Department’s Oct. 8 action targeted 17 tankers it said had hauled Iranian crude, fuel and petrochemicals by the millions of barrels to buyers across South and East Asia.