India Drops to 3rd in Russian Oil Buys; Reliance Cuts Intake
Overview
India's position as a buyer of Russian fossil fuels fell to third place in December, following significant cuts in crude oil imports by Reliance Industries and state-owned refiners. Turkiye has overtaken India, while China remains the largest importer. This shift reflects responses to U.S. sanctions impacting Russian energy producers.
Stocks Mentioned
India's Russian Hydrocarbon Imports Decline
India has slipped to third place among nations importing Russian fossil fuels, a shift detailed by the Centre for Research on Energy and Clean Air (CREA) on Tuesday. This decline marks a significant change from previous months, influenced by major Indian energy firms reducing their purchases of Russian crude oil.
Refiners Cut Purchases Amid Sanctions
The reduction in imports is largely attributed to decisions by Mukesh Ambani-led Reliance Industries and India's state-owned refiners. These entities sharply curtailed their crude oil buying following the implementation of United States sanctions targeting Russia's largest crude producers, such as Rosneft and Lukoil. Consequently, India's total imports of Russian hydrocarbons decreased to approximately 2.3 billion euros in December, down from 3.3 billion euros in November.
Turkiye Overtakes India
Turkiye has now claimed the second spot, having purchased Russian hydrocarbons valued at 2.6 billion euros in December. China continues to dominate, remaining the top buyer and accounting for about 6 billion euros, or 48 percent, of Russia's export revenues from the top five importers. Crude oil constituted the bulk of India's purchases, making up 78 percent or 1.8 billion euros in December.
