Crude oil
In recent times, US President Donald Trump threatened 25 percent extra tariff on importing Russian oil to India. Trump said in his jackal that if India continues oil import from Russia, this tariff will be increased further. This jackal of Trump has not affected India, as recently the oil analysis company KPler has released a report, claiming that Indian refineries bought 2 million barrels of oil per day from Russia in August 2025, which was 16 lakh barrels per day in July.
Why oil increased from Russia?
This increase was mainly due to the purchase of less than Iraq and Saudi Arabia. Purchase from Iraq declined from 9.07 lakh barrels per day to July to 7.3 lakh barrels in August, while imports from Saudi Arabia decreased from 7 lakh barrels to 5.26 lakh barrels. America was the fifth largest supplier during this period, which led to 2.64 lakh barrels per day.
KPler’s research analyst Sumit Ritolia said, “The import from Russia in August has been stable in August,” the trump administration has been stable in August. But it is the impact of stability time. The goods were booked in the early June and July itself, that is, the impact of any new policy is yet to be seen. ” He said that the real change will be seen in the consignments coming from the end of September to October. He made it clear that there is no instruction from the government to reduce Russian oil imports. “Everything is the same in terms of policy.”
Neither asked us to buy, nor to stop purchasing
Indian Oil Corporation (IOC) chairman Arvinder Singh Sahni also said that even after President Donald Trump imposed an additional 25% tariff (total fee 50%) on US imports from India, the government has not ordered any order to reduce purchases from Russia. He said, “Neither we have been asked to buy, nor to stop purchasing. We are neither trying to increase the share of Russian oil nor to reduce.” The total crude processed by IOC in the April-June quarter was 22% of Russian oil and it is expected to remain almost the same in the near future.
Bharat Petroleum Corporation Limited (BPCL) finance director Vatsa Ramakrishna Gupta told investors in a conversation that imports from Russia declined in July, as the discount on it had come down to $ 1.5 per barrel. He said, “Until new restrictions on Russian oil are implemented, our strategy is to import 30-35% Russian crude in the rest of the year.”
Import increased after Russia-Ukraine War
After the Ukraine War in February 2022, after Western countries banned Russia, India started leaving expensive oil and started taking Russian oil at a discount. Prior to the war, Russia’s share was less than 0.2% in India’s total imports, which has now increased to 35-40%. However, where the discount was up to $ 40 per barrel earlier, it remained just $ 1.5 last month, and in August it increased slightly to above $ 2.
Ritolia said that Indian refineries are monitoring the situation. “The interest of taking more oil from America, West Africa and Latin America is increasing, it is not necessary that they are distance from Russia, rather it is for protection against potential supply interruptions.” He added, “This does not mean that someone else is replacing Russian oil. This is just a strategy to increase flexibility. As long as there is no clear policy change or long economic pressure, Russian oil will remain in India’s basket.”
Sahni reiterated that oil imports from Russia were never banned, and this purchase will continue keeping in mind the economic benefits. He said, “Until the restriction does not take place, the purchase will continue. We have not received any instructions. Neither to increase nor reduce. Everything is going on the same as before.” On the question of increasing procurement from America, he said, “Neither we have been asked to buy more from there, nor less. Our decision is based on economic calculation.”