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India Continues High Russian Oil Imports After U.S. Waiver Expiry

Created at 21 Jul · 10:41 AM1 source↑ Market-relevant
IN SHORT

India's crude oil imports from Russia remained near record levels in July, averaging 2.45 million barrels per day, despite the expiration of a U.S. waiver on June 17. This sustained flow suggests continued reliance on Russian crude, even as the UAE and Saudi Arabia rank as the second and third largest suppliers.

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Key Numbers

2.45 million bpdIndia's average Russian crude oil imports in July
2.64 million bpdIndia's record Russian crude oil imports in June
617,000 bpdUAE's average crude oil supply to India in July
586,000 bpdSaudi Arabia's average crude oil supply to India in early July

Who's Involved

Kpler
Data provider for Indian crude oil imports
Tsvetana Paraskova
Author for Oilprice.com

↳ Why This Matters

India's continued high volume of Russian oil imports, even after the expiration of a U.S. waiver, highlights the country's reliance on discounted Russian crude and poses a challenge to international sanctions aimed at curbing Russia's energy revenues. This sustained purchasing pattern impacts global oil supply dynamics and geopolitical relationships.

Key facts

  • India's crude oil imports from Russia averaged 2.45 million barrels per day in July.
  • This volume is close to the record high of 2.64 million bpd seen in June.
  • The U.S. waiver that allowed these purchases expired on June 17.
  • The UAE and Saudi Arabia are India's second and third largest crude oil suppliers, respectively, in July.
  • Analysts anticipate Russian crude will continue to be a significant oil source for India.

India's crude oil imports from Russia have continued at near-record levels in July, even after a U.S. waiver that permitted such purchases expired on June 17. According to data from Kpler, Indian imports of Russian crude averaged 2.45 million barrels per day (bpd) in July, only slightly below the record high of 2.64 million bpd set in June. This sustained flow suggests that many of the July cargoes were likely arranged during the period when the U.S. waiver was active. The geopolitical situation, including the Iran war and the Hormuz crisis, has further solidified Russia's position as India's primary crude oil supplier. In July, the United Arab Emirates ranked second, supplying an average of 617,000 bpd, while Saudi Arabia was the third largest supplier with 586,000 bpd in early July. Both the UAE and Saudi Arabia utilize alternative shipping routes to bypass the Strait of Hormuz. Analysts predict that Russian crude will remain a crucial source of oil for India, regardless of future U.S. waiver decisions for oil already loaded on tankers.

Frequently asked questions

The U.S. waiver allowed India to purchase Russian oil loaded on tankers, which expired on June 17.

India imported an average of 2.45 million barrels per day of Russian crude oil in July.

The United Arab Emirates was the second largest supplier, followed by Saudi Arabia as the third largest.

What Happens Next

01Analysts will monitor future Indian crude oil import data for continued reliance on Russian supplies.
02Further negotiations between the U.S. and Iran regarding a nuclear deal may influence regional stability and oil flows.

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How It Developed

U.S. waiver for Russian oil purchases expired on June 17.
Indian imports of Russian crude averaged 2.45 million bpd in July.
July imports are close to the June record of 2.64 million bpd.
UAE and Saudi Arabia are India's second and third largest oil suppliers in July.
Analysts expect Russian crude to remain a key supply source for India.

Sources

T1
India Keeps Buying Russian Oil at Near-Record Pace Despite Expired WaiverOilPrice.com

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