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Faced with 25% penal tariffs on Russian crude, India pushes for alternative oil sources to safeguard energy security
India, contending with 25% additional penal tariffs on its crude imports from Russia, has reportedly requested the United States to allow oil imports from Iran and Venezuela. With Russia offering discounted crude due to international sanctions following the Ukraine conflict, India’s refiners have benefited from lower costs, and similar advantages are sought from sanctioned suppliers Iran and Venezuela, reported timesofindia.indiatimes.com.
Indian officials emphasized that limiting access to oil from Russia, Iran, and Venezuela simultaneously could trigger global price spikes, urging US flexibility
During talks in the US, Indian delegates highlighted that any reduction in Russian crude imports by Indian refiners must be accompanied by US approval for Iranian and Venezuelan oil. The discussions coincided with Washington’s implementation of 50% tariffs on India, yet Indian refiners continued to import Russian crude, albeit in reduced volumes. Commerce Minister Piyush Goyal stressed India’s intent to enhance energy cooperation with the US, stating that “our energy security goals will have a very high element of US involvement.”
Since the onset of the Russia-Ukraine conflict in 2022, India has increased Russian oil imports significantly. Data from Finland’s Centre for Research on Energy and Clean Air (CREA) indicates India purchased Russian oil worth ₹132 billion (~₹13.39 lakh crore), representing 20% of Russia’s oil export revenue of ₹640 billion during this period. Including Russian coal imports of ₹16 billion, India’s total fossil fuel imports from Russia reached ₹148 billion.
Globally, China remained Russia’s top fossil fuel customer at ₹268 billion, followed by the EU at ₹213 billion, India at ₹148 billion, and Turkiye at ₹111 billion. Despite Western opposition, Russian oil continues to flow to India and China at discounted prices, helping both countries mitigate energy costs while navigating sanctions.
