Crude Oil Prices Fell in Asia Amid US Sanctions and OPEC+ Meeting Focus

On Sep 3, 2025, Crude oil prices remained largely unchanged in early Asian trading, holding near one-month highs as fresh U.S. sanctions on Iran raised concerns over tighter global crude supplies.

Market has now shifted its focus on the upcoming meeting of the Organization of the Petroleum Exporting Countries and its allies (OPEC+), where the group is widely expected to maintain current production levels following multiple output hikes earlier this year.

By 00:22 GMT (20:22 ET), Brent crude futures were steady at $69.12 per barrel, while West Texas Intermediate (WTI) crude remained flat at $65.09 per barrel. At 08:55 AM IST, Brent crude was trading 0.23% down to $68.98, while WTI crude fell 0.15% to $65.49

US Sanctions on Iran’s Oil Sector

On Tuesday, the U.S. Treasury Department imposed restrictions on a network of firms and vessels led by an Iraqi-Kittian businessman accused of disguising Iranian oil shipments as Iraqi crude. This latest enforcement action follows the breakdown of nuclear negotiations between Washington and Tehran earlier this year, raising the likelihood of reduced Iranian oil on global markets in the months ahead.

Also Read: Gift Nifty Hints at Negative Opening; Sensex, Nifty Likely Under Pressure on September 3

Geopolitical Tensions: India-US Oil Disputes in Focus

Meanwhile, diplomatic and trade tensions between the U.S. and India are adding another layer of uncertainty to oil markets. Washington recently imposed 50% tariffs on India’s imports of Russian oil, prompting speculation of possible retaliatory moves.

The U.S. scrutiny has also drawn European attention, with reports of sanctions targeting a major Indian oil refinery. This week, Saudi Arabia and Iraq were reportedly halting shipments to India’s Nayara Energy, further stoking concerns about global supply disruptions.

OPEC+ Meeting and US Inventory Data in Spotlight

Traders are now awaiting the next OPEC+ meeting on September 7, which could provide fresh direction for oil prices. While the alliance ramped up output earlier in the year to unwind pandemic-era production cuts, analysts broadly expect the group to hold output steady this time.

However, given that oil prices have remained relatively soft for most of the year, there is also a possibility that OPEC+ could opt for tighter supply management to stabilise the market.

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