India’s imports of Russian crude oil hit a record for the second consecutive month in July, with Russian barrels crossing the halfway mark of the country’s total crude intake for the first time, even as Washington moved closer to imposing steep tariffs on countries buying Russian oil.
How much Russian crude did India import in July?
Indian refiners imported a record 2.8 million barrels per day of Russian crude in July, accounting for about 55.5 percent of India’s total crude imports of just over 5 million bpd, according to data compiled by the Centre for Research on Energy and Clean Air. The July intake was up around 2.1 percent from June in volume terms and significantly higher than India’s average Russian crude imports of roughly 1.8 million bpd in 2024, underscoring Moscow’s growing importance as a crude supplier to Indian refiners.
What drove this surge in Russian imports?
Indian buyers imported Russian crude worth 5.5 billion euros in July, with crude accounting for 87 percent of India’s total Russian fossil fuel purchases during the month. Apart from record Russian volumes, Indian refiners also boosted imports from Saudi Arabia and Iraq, as millions of barrels managed to exit the Persian Gulf during the mid-June to mid-July window when the Strait of Hormuz was tentatively open to tanker traffic. India also imported crude from Kuwait for the first time since March, according to shipping data compiled by Kpler.
Why is the timing of this record significant?
The surge came at a time when Indian refiners continued to rely heavily on Russian volumes amid persistent threats to shipping in the Strait of Hormuz and, more recently, the Bab el-Mandeb Strait in the Red Sea, reinforcing Russia’s role as a stable, discounted supply source even as security risks disrupted alternative Gulf shipping routes.
What tariff pressure is Washington applying over Russian oil purchases?
The record imports come despite growing pressure from Washington, with the US Senate having cleared a bill that could allow President Donald Trump to impose tariffs of up to 100 percent on countries among the top five importers of Russian oil and gas. This puts India’s continued Russian crude purchases under renewed scrutiny, even as Indian officials have consistently maintained that import decisions are driven purely by economic and pricing considerations rather than geopolitical alignment.
What does this mean for India’s crude sourcing strategy going forward?
With Russian oil now supplying more than half of India’s crude needs for the first time, alongside rising volumes from Saudi Arabia, Iraq and Kuwait, India’s refiners appear to be balancing discounted Russian supply with diversified Gulf sourcing as they navigate both tariff risk from Washington and shipping security concerns across key Middle East maritime chokepoints.
