India Boosts Russian Oil Imports to 2 Million bpd in August Despite US Pressure

India imported 2 million barrels per day (bpd) of Russian crude in August, up from 1.6 million bpd in July. This accounted for 38% of India’s total 5.2 million bpd imports, according to Kpler.

The increase came with a drop in supplies from Iraq (730,000 bpd) and Saudi Arabia (526,000 bpd). The US ranked fifth, supplying 264,000 bpd.

No Policy Shift Yet

Indian refiners are continuing their regular purchases of Russian oil despite the Trump administration’s newly imposed tariffs.

Refiners Focus on Economics

• Russian oil made up 22% of IOC’s crude processing in April-June.
• Bharat Petroleum said discounts shrank to $1.5 per barrel last month, but imports will still make up 30–35% of purchases this year, unless fresh sanctions are imposed.

Discounts Narrow but Still Attractive

Russia’s share of India’s crude has jumped from negligible levels in 2022 to 35–40% today. Discounts once as high as $40 per barrel are now around $2 per barrel, but still remain competitive.

Read More: Sensex Crosses 81,500 Mark On Aug 18, on GST Optimism and Oil Supply Relief!

Exploring Alternatives

Indian refiners are also looking at US, West African, and Latin American crude to reduce risks. 

Conclusion

India’s oil strategy remains clear: economics first, politics later. Russian crude remains attractive despite shrinking discounts and US tariffs. Unless sanctions directly restrict purchases, Indian refiners are set to continue “business as usual.”

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