India has expressed concern over proposed U.S. legislation that aims to impose heavy tariffs on countries buying oil from Russia. The government criticized the possible move as a display of “double standards,” highlighting energy security as its top priority.
Background of the Issue
- A new U.S. Bill called the Russian Sanctions Act, 2025 has been introduced by Senator Lindsey Graham.
- The proposed law threatens secondary sanctions, including tariffs up to 500% on countries continuing to trade Russian oil.
- NATO Secretary-General Mark Rutte also warned nations like India, China, and Brazil to stop oil trade with Russia or face consequences.
India’s Stand and Response
- The Ministry of External Affairs (MEA) said India is watching the situation and will act based on its national interest.
- MEA spokesperson Randhir Jaiswal stressed that energy needs of Indian citizens are crucial, and procurement is based on market conditions.
- He also pointed out the double standards, as some Western nations continue to import oil and gas from Russia.
Petroleum Minister’s Remarks
- Union Minister Hardeep Singh Puri stated that India will address any sanctions once they become law.
- He noted that India now imports oil from 40 different countries, compared to 27 earlier, diversifying its energy sources.
Context of Energy Imports
- As of February 2025, India gets about 38% of its oil from Russia, while China imports about 50%.
- EU countries, though under sanctions, still buy processed petroleum products from Indian refineries with Russian links.
Other Related Issues
- India still avoids importing oil from Iran, despite pressure from Iran to resume trade.
- U.S.-India talks also involve tariffs on agriculture, GM products, and deportation of illegal Indian migrants (1,563 deported in 2025 so far).
POSTUKRAINE WAR OIL IMPORT TRENDS
- Sharp Rise in Imports
- Since Russia invaded Ukraine (February 2022), India’s imports of Russian crude surged from under 1% to roughly 40% of its total oil imports
- This represents a 1,500% increase in Russian oil imports by mid2023
- Recent Monthly Highs
- In May 2025, Russia supplied nearly 1.96 million barrels per day (bpd), a 10-month peak
- In June 2025, imports rose to 2.08 million bpd, highest since July 2024
- Major Buyers and Export Strategy
- Private refiners like Reliance and Nayara Energy accounted for almost half the purchases; Indian Oil Corp used spot markets
- Some refineries refined Russian crude into diesel and petrol and exported to Europe and G7 nations, leveraging a loophole around sanctions
Conclusion:
India emphasized it will continue to prioritize energy security and condemned any attempt to penalize selective countries, calling for fairness in global sanctions.
