Above photo: Sovcomflot.
US President Trump has imposed 50 percent tariffs on India.
Hoping to end the purchases of Russian crude.
Russian oil exports to India are set to rise in September, as New Delhi defies new US tariffs imposed to punish the South Asian country for the oil purchases, Reuters reported on 28 August.
Three sources involved in the oil trade with India told Reuters that Indian refiners are expected to increase Russian oil purchases by 150,000-300,000 barrels per day (bpd) in September, which is an increase of 10–20 percent from August.
Reliance and Nayara Energy, which is majority Russian-owned, are the two largest buyers of Russian oil for India.
New Delhi’s purchases of Russian crude skyrocketed after the start of the war with Ukraine in 2022. After its oil exports to Europe collapsed in the wake of the war, Russia turned to India and China, offering steep discounts.
Reuters added that Russia is looking to export more oil than normal in September because refinery outages have reduced its own refining capacity. Ukraine has attacked 10 Russian refineries in recent days, cutting Moscow’s refining capacity by 17 percent.
India is the largest buyer of Russian crude, importing some 40 percent of its oil via Russian tankers.
Earlier this month, US President Donald Trump signed an executive order imposing an additional 25 percent tariff on India over its purchase of Russian energy.
The new tariffs on India took effect on 27 August, stacking on top of 25 percent country-specific tariffs, which took effect three weeks before.
“They’re fueling the war machine. And if they’re going to do that, then I’m not going to be happy,” Trump said in an interview with CNBC earlier in the month.
Despite the US pushback, Indian External Affairs Minister Subrahmanyam Jaishankar called on 21 August for an expansion of trade ties with Russia.
The minister said India and Russia plan to increase their annual trade to $100 billion over the next five years – marking an increase of 50 percent.
Russia ranks as India’s fourth-largest trade partner, while India holds the position of Russia’s second-largest.
