The shifting route comes as US companies face mounting political and legal pressure not to handle the fuel before the Nov 3 midterm elections. A bipartisan group of seven lawmakers, including Republican Senator Thom Tillis, warned JPMorgan, Bank of America, Citi, Wells Fargo, Goldman Sachs, Morgan Stanley, fuel distributors and four port authorities that importing Russian petroleum products violates a 2022 statutory ban despite a Treasury Department sanctions waiver. Congressional Democrats have directed the banks and ports to preserve transaction records for potential investigations if the party wins control of Congress, while Democratic Senator Richard Blumenthal urged the tanker’s Greek owner, Eastern Mediterranean Maritime, to turn its vessels around.

While the Treasury Department maintains its license makes the imports legal through April 7, 2027, Oliver Wyman Global Anti-Financial Crime Leader Daniel Tannebaum said the waiver does not override the 2022 federal statute and that US customs officials should technically turn the vessel away. Analysts noted that cargoes signaling New York could ultimately be redirected to other Atlantic basin markets such as Brazil or Cuba, while still adding supply to the region as US retail diesel prices average more than $6.30 a gallon, up roughly 74% from a year ago.