- Russian Urals crude discounts widen to $3–$4 per barrel for India.
- India imported 11.4M barrels recently, plans 10–20% increase in September.
- U.S. tariffs and criticism intensify, but India defends trade as stabilizing.
India will still acquire Russian crude oil at more severe discounts at which Urals grade prices are well below Brent are $3-$4 per barrel for late September and October 2025 deliveries, even with U.S. calls to stop the shipments. U.S. officials charge that India's imports of Russian oil, which surged after the Ukraine conflict began in 2022, support Russia's war efforts, and imposed 50% tariffs on Indian goods.
In spite of all this, Indian refiners resumed purchases of crude from Russia after a period of purchases stopping in August and imported 11.4 million barrels from August 27 - September 1, 2025, during which period is includes a shipment from the U.S. sanctioned vessel the Victor Konetsky, according to the data from Kpler.
Last week discounts widened from $1 per barrel in July to $2.50, while U.S. crude was sold at a $3 premium. In 2024–25, and in the first quarter of 2025, Russia is supplying 36% of India's daily imports of 5.4 million barrels, making it India's largest supplier, exceeding Iraq and Saudi Arabia. New Delhi has said the trade is legal and stabilizes global oil prices.
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At the Shanghai Cooperation Organisation summit, Prime Minister Narendra Modi described India-Russia ties as "special," clearly defying the United States' asking for them to terminate their purchases. Peter Navarro, a White House advisor, stated that India was profiting as a "laundromat" accepting Russian oil, Hardeep Singh Puri, the oil minister, stated that India is contributing to the prevention of increases in global prices.
India's refiners are considering increasing their Russian crude intake by between 10% to 20% in September, mainly due to favourable pricing and Russia's inability to refine oil because of attacks by Ukrainian drones. The trade, which has saved India about $17 billion from 2022, remains crucial, even in the face of tariffs.