India’s Energy Mix Transforms: American Crude Gains While Russian Supplies Shrink

by admin477351

A fundamental transformation in India’s crude oil import composition became evident in 2025, with American petroleum emerging as a significantly larger component of the energy mix. Official data shows US crude imports to India soared by 65.6% to $8.2 billion in the April-December 2025 period, while Russian crude imports contracted by over 17%, dropping from $40 billion to $33.1 billion year-on-year.

The December 2025 import figures illustrate this shift with particular clarity. Russia, which had been a major supplier, experienced a 15.15% decline in shipments to $2.71 billion, down from $3.2 billion in December 2024. This made Russia the sole supplier among India’s top five to register negative growth during this period, signaling a significant change in procurement patterns.

Other major suppliers to India demonstrated strong positive momentum. Saudi Arabia led the growth trajectory with an impressive 61% year-on-year surge, supplying crude worth $1.75 billion in December 2025. The United States posted a solid 31% increase with shipments valued at $569.30 million. Iraq recorded a 4.56% uptick to $2.37 billion, while UAE deliveries rose 6% to reach $1.65 billion.

The contraction in Russian crude imports intensified following the United States’ implementation of a 25% punitive tariff on Indian goods on August 27, 2025, intended to discourage purchases of sanctioned Russian petroleum. Monthly Russian crude imports, which stood at $3.62 billion in July 2025, declined progressively before plunging to $2.71 billion in December 2025—representing a substantial 35% drop from the previous month.

India’s aggregate crude imports from all 39 source countries totaled $11.29 billion in December 2025, up 9.1% from $10.34 billion in December 2024. For the April-December 2025 period, cumulative imports amounted to $105.10 billion, slightly below the $109.33 billion recorded in the same period of 2024. Officials maintain that ensuring reliable energy access for 1.4 billion citizens drives all strategic decisions regarding energy sourcing.

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