India has reiterated its commitment to continuing oil trade with Russia despite mounting pressure from the United States. Indian Ambassador to Russia Vinay Kumar stated that the country will purchase oil from sources offering the best deal, prioritizing measures that safeguard national interests. He emphasized that India’s primary objective is to ensure energy security for its 1.4 billion citizens, regardless of external pressures. Even if the US administration imposes a 50 percent higher tariff, India intends to adopt strategies that protect its economic and strategic concerns. Kumar also criticized the US decision to impose an additional 25 percent duty on India for buying Russian oil, calling it unfair and irrational.
The ambassador clarified that all trade is conducted on a commercial basis. As long as the principles of commercial transactions and imports remain valid, Indian companies will continue sourcing oil from suppliers offering competitive prices. Previously, the United States accused India of indirectly financing the conflict in Ukraine by purchasing Russian crude, an allegation India strongly rejected.
Meanwhile, state-owned oil corporations such as Indian Oil and Bharat Petroleum have resumed crude oil purchases from Russia. This move follows Russia’s decision to offer deeper discounts on Ural crude for September and October deliveries. China has also increased its procurement of Russian oil, taking advantage of similar price benefits. Indian firms had earlier scaled back their purchases after the US imposed tariffs on India. However, negotiations between US President Donald Trump and Russian President Vladimir Putin, coupled with falling Russian oil prices, prompted Indian companies to resume imports.
The price drop in Russian crude during July was a key factor that initially led Indian refiners to reduce purchases, while Chinese buyers stepped in to fill the gap. Subsequently, Indian companies restarted their acquisitions as market conditions became favorable again. The United States recently announced a 25 percent penalty on India, effective August 27, if the country continues buying Russian oil. Despite this, Indian public-sector enterprises have increased their procurement volumes. Indian Oil Corporation reaffirmed its commitment to buying Russian crude based on prevailing market conditions and commercial viability.
In response, Russia has expressed readiness to expand imports of Indian products in return for increased oil purchases. Russian diplomatic representative Roman Babushkin stated that if India faces restrictions in accessing the US market due to its oil trade with Russia, Moscow is prepared to facilitate greater bilateral trade. He also argued that unilateral restrictions imposed on India under such circumstances lack justification and would ultimately harm the countries enforcing them. According to Russian officials, attempts to penalize India are unlikely to succeed, and energy cooperation between the two nations will continue unaffected by foreign pressure.
India faces a significant challenge in balancing its global partnerships while ensuring energy security. However, New Delhi remains confident in its strategic ties with Moscow and is determined to uphold its national interest in the evolving geopolitical landscape.
