India yet to direct refiners to halt Russian oil imports despite US pressure: Report

New Delhi: India has not directed its oil refiners to halt purchases of Russian crude, according to multiple people familiar with the matter, as New Delhi weighs its energy security needs alongside diplomatic considerations involving Washington and Moscow, Bloomberg reported on Sunday.

No decision has been made on restricting imports from Russia, the sources said, requesting anonymity due to the sensitivity of the discussions. Both state-run and private refiners continue to choose suppliers based on commercial criteria, they added.

US President Donald Trump on Wednesday criticised India for continuing to procure military equipment and energy from Russia. He announced a 25 per cent tariff on Indian goods and warned of further penalties over New Delhi’s ties with Moscow. Two days later, Trump told reporters he had “heard” India would stop buying Russian oil, calling it “a good step.”

Indian officials have maintained that crude buying is driven by price and market conditions. Last week, the government asked state-owned refiners to prepare contingency plans for sourcing non‑Russian oil, Bloomberg reported, citing people with knowledge of the matter. One source described the move as part of scenario planning should Russian supplies become unavailable.

The New York Times reported Saturday, citing two unnamed senior Indian officials, that India plans to keep importing Russian crude despite Trump’s warnings. An oil ministry spokesperson did not respond to Bloomberg’s request for comment outside regular business hours.

India has become the largest buyer of Russian seaborne crude since the start of the war in Ukraine, taking advantage of discounted shipments. Purchases from Russia, once negligible, now account for about a third of the country’s imports.

Reducing or ending Russian oil purchases would force India to turn to Gulf producers, whose crude typically comes at a premium. One person familiar with the matter told Bloomberg such a shift could increase India’s import bill — an outcome the government is keen to avoid.

Prime Minister Narendra Modi has maintained strong relations with Russian President Vladimir Putin, visiting Russia in October. Putin is expected to visit India later this year for bilateral talks. Meanwhile, state-run Indian Oil Corp. recently bought at least 5 million barrels of US crude and 2 million barrels from Abu Dhabi, traders told Bloomberg. The deals were considered large by the company’s usual standards and scheduled for relatively swift delivery.