India shifts crude mix toward Middle East as Russia oil intake falls
India shifts crude mix toward Middle East as Russia oil intake falls
India pivots its crude imports toward the Middle East while scaling back Russian supplies amid compliance risks and changing refinery economics.
India is shifting its crude-import strategy, leaning more on Middle East supplies while dialing back Russian crude due to compliance risks and price dynamics. Refinery margins in India have favored Middle East grades, prompting importers to diversify away from Moscow's barrels.
Even as Russian oil remains part of the energy mix, its role is becoming more selective, tied to specific grades and terms that fit refineries' economics.
Observers note that policy signals from across the Atlantic are complicating the picture: the United States has hinted at possible tariff relief on imports linked to Russian oil as India's Russian-crude intake shrinks. The broader 50% tariff regime carries various exemptions, and any easing would be watched closely by traders.
This shift aligns with India's aim to strengthen energy security and reduce exposure to any single supplier, while benefiting from cheaper Middle East crude and better refinery margins.
Analysts say the trend could influence global oil flows and bargaining power in the region, with long-term impacts on prices and investment.
