NEW DELHI– India has stepped up its imports of U.S. crude, with state-owned Indian Oil Corporation (IOC), the country’s largest oil company, placing orders for about 2 million barrels in August for delivery in October, according to a Reuters report from Singapore.
The purchases are part of a series of U.S. crude deals totaling roughly 2 million barrels for October delivery, coming after U.S. President Donald Trump threatened additional tariffs on Indian exports.
At the same time, India imported 2 million barrels per day of Russian oil in August under contracts placed in June and July, replacing shipments from Iraq amid regional geopolitical tensions, data from commodities analytics firm Kpler showed. The increased Russian supply came at the expense of purchases from Iraq and Saudi Arabia.
Official data indicates that India’s oil and gas imports from the United States jumped 51 percent between January and June this year. LNG imports from the U.S. nearly doubled to $2.46 billion in fiscal year 2024–25, up from $1.41 billion the previous year.
In February, Prime Minister Narendra Modi pledged to increase India’s energy imports from the U.S. to $25 billion in 2025, up from $15 billion in 2024, as part of efforts to narrow America’s trade deficit. Following that commitment, government-owned oil and gas companies began talks with U.S. suppliers for more long-term contracts. Officials in New Delhi have stressed that India is diversifying its energy sources to reduce reliance on Russian oil.
India has defended its continued Russian crude purchases, noting they fall below the G7 price cap and therefore do not violate sanctions. U.S. policy has allowed such purchases, reasoning that greater supply in the global market would help prevent a spike in oil prices, while discounted sales limit Moscow’s revenue.
Indian officials have also emphasized that the U.S.-India relationship is a broad strategic partnership that extends far beyond trade. The government told the Parliamentary Standing Committee on External Affairs that plans remain unchanged for the sixth round of India-U.S. talks, which could pave the way toward a trade agreement. (Source: IANS)
