The Biden administration is waiving new sanctions it imposed on companies constructing the Nord Stream 2 pipeline due to national security reasons, Bloomberg reported on Wednesday citing people familiar with the matter.

The report added that the State Department in a report to Congress said Nord Stream 2 AG is involved in sanctionable activity under US law, but the US administration has decided to waive the sanctions for national security reasons.

Sanctions on Russian ships laying the pipes are expected to remain.

Axios reported on Tuesday that the Biden administration was expected to waive sanctions against Nord Stream 2 AG and its CEO, Matthias Warnig, using US national interests as justification.

The United States continues to express to German leadership its opposition to the pipeline and the idea of western European countries relying on Russian energy.