India’s energy policy continues to prioritize consumer interests, focusing on stable prices, secure supplies, and diverse sourcing, as reaffirmed by the government amid claims by US President Donald Trump that Prime Minister Narendra Modi assured him India would stop buying oil from Russia.
India remains one of the top buyers of Russian crude oil alongside China, importing about one-third of its oil from Russia despite Western sanctions. However, recent data indicates a 10% dip in Russian oil imports in 2025, driven by market factors rather than US pressure. Indian refiners, including Indian Oil Corp Ltd., are cautiously assessing crude purchases, with some preparing to gradually reduce Russian oil imports.
Payments for Russian oil are still predominantly in rubles, with a small but increasing share settled in Chinese yuan. India has been expanding its energy procurement from diverse sources, including the US, aiming to deepen energy cooperation and potentially purchasing more American oil to balance trade.
The government has not officially confirmed Trump’s claim about ceasing Russian oil imports, maintaining that import decisions are guided by economic and national interests, with discounts on Russian crude making it an economical feedstock option.
The opposition, however, has criticized the Prime Minister over Trump’s assertion, questioning India’s stance on the issue.