Summary
India has increased its imports of Russian oil, with Reliance Industries being the main importer. This shift is tied to the price cap on Russian oil, meant to reduce revenues for Russia. The U.S. has reacted by imposing a 25% tariff on India, affecting its trade relationship with Russia.
Key Facts
- The U.S. imposed a 25% tariff on Indian imports from Russia due to concerns over Russia's actions in Ukraine.
- India’s relationship with Russia dates back to the Cold War and includes defense partnerships.
- Reliance Industries, headed by Mukesh Ambani, is India's largest importer of Russian crude oil.
- Russian crude was 3% of Reliance's imports in 2021 but grew to 50% by 2025.
- The Jamnagar refinery imported 18.3 million tonnes of Russian oil in the first seven months of 2025, a 64% increase from the previous year.
- A price cap on Russian oil was intended to curb Russian revenue while maintaining supply.
- A shadow fleet is being used by Russia to navigate price cap rules, affecting prices and shipping.
- The U.S., along with other countries, has still been importing products refined from Russian crude at the Jamnagar refinery.
