India Doubles Crude Oil Imports from the US
India’s crude oil imports from the United States saw a dramatic increase in February 2025, doubling to an average of 200,000 barrels per day (bpd) from 110,000 bpd in January. This rise underscores India’s efforts to diversify its energy sources amid shifting global trade patterns and geopolitical tensions.
The increase in imports from the US comes at a time when India is actively seeking more stable and cost-effective energy partnerships to meet its growing demand while ensuring energy security in the face of international supply disruptions.
Decline in Russian Oil Imports Amid Sanctions
In contrast to rising US imports, India’s crude oil purchases from Russia have declined. Data suggests that during the first 20 days of February, shipments from Russia to India averaged 1.07 million bpd, a decrease from 1.4 million bpd in January.
This reduction can largely be attributed to US sanctions on Russian energy exports, which have forced Indian refiners to look for alternative suppliers. With increased scrutiny on transactions involving Russian crude, refiners have opted to shift toward US and Middle Eastern oil supplies to maintain steady production.
Middle Eastern Suppliers Gain a Stronger Foothold
Alongside increased imports from the US, India has also boosted its crude oil purchases from Middle Eastern nations. Shipments from Saudi Arabia rose to 910,000 bpd in February, up from 770,000 bpd in January, while Iraq’s exports increased to 1.08 million bpd from 800,000 bpd in the previous month.
This growing reliance on Middle Eastern suppliers reflects India’s strategic approach to balancing its energy imports while ensuring cost efficiency and stable long-term agreements with major oil-producing nations.
India’s Energy Diversification Strategy
The realignment of India’s oil import portfolio highlights the country’s proactive energy strategy aimed at reducing dependency on any single supplier. By diversifying its crude sources, India is ensuring a resilient energy market that can withstand geopolitical disruptions.
With increasing uncertainty in global oil markets, India’s move to expand trade partnerships with the US and Middle East signals a well-calibrated response to evolving supply challenges. This shift not only strengthens economic ties but also reinforces India’s position as a major energy consumer shaping global oil trade policies.
