India's state-owned refiners keep buying Russian oil while New Delhi seeks U.S. tariff relief

State-owned Indian refiners have continued purchases of Russian crude even as New Delhi seeks relief from U.S. secondary tariffs imposed over those imports; analysts say private buying fell in December while public sector firms offset part of the decline.

State-owned refiners in India have continued to purchase Russian crude even as New Delhi requests relief from U.S. tariffs tied to those imports, according to energy analysts and U.S. officials. The United States imposed a 25% "secondary" tariff on Indian goods in August over continued imports of Russian oil, and also sanctioned Russian oil firms Lukoil and Rosneft in late November. Analysts reported that declines in overall Russian crude purchases were driven mainly by reduced buying from a major private importer, while public sector refiners have offset part of that fall. U.S. officials and a U.S. senator have publicly discussed requests and possible further tariff actions tied to India's imports. Key facts: - The U.S. imposed a 25% secondary tariff on Indian goods in August, citing continued imports of Russian crude. - U.S. sanctions were applied to Russian oil companies Lukoil and Rosneft in late November, which affected some private buyers in India. - Analysts at Kpler and Rystad reported declines in India's Russian crude imports in December, with differing monthly estimates and a reported modest recovery expected in January. - Senator Lindsay Graham said India's U.S. ambassador asked him to urge the U.S. president to lift the tariffs, and President Trump said the U.S. could raise tariffs if India does not curb purchases. Summary: Continued purchases by public sector refiners are reported to have partly offset declines from private buyers, and U.S. officials have linked tariff actions to India's import choices. Undetermined at this time.