Moscow: Russia has received no formal communication from India regarding any cessation of oil purchases, amid swirling speculation over a nascent US-India trade deal pressuring New Delhi to curb imports. This was stated by Kremlin spokesman Dmitry Peskov, reports said. Peskov’s remarks underscore Mosncow’s confidence in sustained energy ties with its largest crude buyer, despite US sanctios and tariff negotiations under President Trump.
Recent reports suggest President Trump linked tariff reductions — from 26% to 18% — to Prime Minister Narendra Modi’s purported agreement to stop Russian oil imports, a claim amplified during Trump’s February 2 announcement. US Ambassador Sergio Gor dodged specifics, while Indian Minister of Petroleum and Natural Gas Hardeep Puri highlighted global oversupply enabling diversified sourcing without punishing New Delhi’s demand hub status.
Reports said Peskov emphasized “business as usual,” with refiners like Reliance Industries resuming sanctions-compliant cargoes for February-March after a brief hiatus, alongside IOC and BPCL continuity. Discounted Urals crude — despite US blacklists on Rosneft and Lukoil — keeps flows attractive, even as Reliance pivots partially to Middle East suppliers per EU fuel rules. Kpler’s Naveen Das forecasts a “healthy baseload” into 2026, barring escalated disruptions like Ukrainian strikes.
India saved billions via discounted Russian barrels post-2022 Ukraine invasion, comprising 40% of seaborne imports at peak; current levels support refining margins amid glut conditions. Kremlin views persistence despite US pressure as validation of multipolar energy dynamics, with no immediate pivot signaled.
New Delhi prioritizes “best prices and margins,” strategically blending Russian, Middle Eastern, and Venezuelan options without commitment to zero imports. Trade deal details pending, but Peskov’s denial quells halt rumors, stabilizing Urals discounts.
