Energy Watch: Russian Crude Imports Fall in December—but the Relationship Endures
India’s imports of Russian crude declined sharply in December 2025, falling to roughly 1.14 million barrels per day—the lowest level since December 2022—as sanctions on Rosneft and Lukoil disrupted established supply chains and prompted refiners to rebalance purchases. Even with the drop, Russia remained India’s single largest supplier in December, with analysts noting that intermediaries and alternative trading routes are keeping Russian barrels competitive in India’s crude slate. Discounts on Urals narrowed versus earlier months, but pricing still compares favorably with Middle Eastern medium-sour grades, supporting continued demand under current secondary-sanctions parameters.
Refiners shifted toward non-designated Russian entities and diversified sourcing across the Middle East, West Africa, and the Americas, but market watchers expect Russian volumes to re-normalize gradually in early 2026 as trading networks adapt. The broader takeaway: while December’s pullback was notable, economics and refinery configurations suggest Russian crude remains structurally embedded in India’s import basket, barring wider secondary-sanctions enforcement or material price shifts in competing grades.
