Stopping crude oil imports from Russia, a huge loss deal, India will get so much billion dollars
If Indian If India stops importing crude oil from Russia to avoid American threats for additional duty or fine on exports, the annual oil import bill of the country may increase to US $ 9-11 billion. Analysts predicted this. India is the third largest oil consumer and importer in the world. Western countries banned Moscow after Russia invaded Ukraine in February 2022. After this, India gained significant benefits by purchasing cheap oil from Russia. However, the situation has now changed after US President Donald Trump’s announcement of 25 percent fee on Indian goods and fines on purchasing oil and weapons from Russia.
The amount of fine has not been announced yet
The US has issued a 25 percent fee notification, but the fine has not been announced yet. Sumit Ritolia, a leading research analyst at the global analyst Capler, called it a “two -way pressure”. On the one hand, the European Union sanctions will affect Indian refineries, on the other hand the threat of US fee will affect India’s infrastructure infrastructure. He said, “All these measures together reduce the flexibility of India’s procurement of crude oil, increase compliance risk and create huge uncertainty in cost.” Capler figures show a significant decline in India’s imports in July (21 lakh barrels per day compared to 21 lakh barrels per day).
However, this decrease can also be somewhat due to regular refinery maintenance and weak monsoon -induced demand. This decline is more clear among government refiners. Private refinery is also diversification of purchase.
India’s crude oil imports increased from America
According to a report, India has increased the import of crude oil from the US rapidly in 2025. The average of 0.271 million barrels of crude oil were imported between January and June 2025, which is 51% higher than the previous year. The growth in April to June quarter stood up to 114%. In July 2025 alone, 23% more oil came from the US than in June. Now the US holds 8% stake in India’s total crude oil imports, which was just 3% last year. The price of these imports reached $ 3.7 billion in the first quarter of FY 2025-26, compared to $ 1.73 billion last year.
Apart from this, India is also increasing LPG and LNG imports from the US. LNG imports reached $ 2.46 billion in FY 2024-25. Long -term agreement of billions of dollars is under talks, which is expected to strengthen the energy partnership of the two countries.
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