Iranian Light is a light sweet crude oil grade produced in Iran, typically with API gravity around 34 degrees and low sulfur content below 1.5%. This crude oil serves Middle Eastern and Asian markets when trade sanctions permit, competing with other regional light crude grades. Iranian Light quality characteristics make it attractive to refiners seeking light, low-sulfur feedstock.

Political tensions and international sanctions significantly affect Iranian Light availability and pricing, creating supply uncertainty in global oil markets. When Iranian oil exports are restricted, other producers often increase output to offset supply losses, while lifting sanctions can add significant volumes to global markets and pressure prices.

Real-world example: Sanctions on Iranian oil exports remove 2 million barrels per day of Iranian Light from global markets, tightening light crude supply and strengthening price differentials for competing Middle Eastern and West African crude grades.