War may turn India back to Russian oil

US Treasury chief Bessent says India would be granted 30-day waiver to buy sanctioned oil

- ALEX TRAVELLI

A Russian tanker navigates the Bosporus, one route used to export oil to buyers abroad, in 2024.

(PHOTO: REUTERS)

Indian officials spent six months in agony after President Donald Trump decided last summer to punish the country for buying crude oil from Russia, as they struggled to negotiate around his demand.

Trump exerted pressure by placing sanctions on some Indian refiners and imposing a punishing 50% tariff on Indian goods to cut into revenue for what he called Moscow’s “war machine.”

This week, after joining Israel to launch a war against Iran, Trump made it nearly impossible for India to get oil from its alternative suppliers, which are mostly in the Persian Gulf, with supplies from the region cut off by the fighting that has escalated since it began Saturday. That leaves India with few options to feed its growing economy's need for fuel, 90% of which it imports. Russia looks like the obvious solution.

Sumit Ritolia, a research analyst at Kpler, which tracks international shipping, said that “we may see increased sourcing” of Indian supplies from Russian tankers. But it’s not visible yet. It takes nearly a month for tankers loaded in Russia to reach Indian ports.