India Defies Sanctions with Russian Oil Surge

India's oil imports from Russia are expected to reach over 1 million barrels per day in December. Despite Western sanctions, India and Russia's strong ties have led to increased purchases of discounted Russian oil. Private refiners, however, are halting Russian oil purchases amid the geopolitical climate.

India's imports of Russian oil are anticipated to surpass 1 million barrels per day by the end of December. This unexpected surge comes as India's refiners seize discounted opportunities amidst Western sanctions. The nation's ties with Russia have remained steadfast, as demonstrated by recent dialogue between the two countries' leaders.

In November, India imported 1.77 million barrels per day of Russian crude, overcoming challenges posed by U.S. sanctions on Russian oil producers. Although a decrease was expected, preliminary data indicates December imports may exceed 1.2 million barrels per day. This rise is driven by buyers rushing to close deals before the U.S. deadline for transactions involving Rosneft and Lukoil.

While some state refiners are resuming pre-sanction level purchases, private groups like Reliance Industries are halting Russian imports. Despite geopolitical strains, Russia remains India's primary source of seaborne crude, although import dynamics may shift due to evolving U.S. trade policies and market strategies.

(With inputs from agencies.)