India’s private refineries, which had been major purchasers of discounted Russian crude, began adjusting their procurement strategies in late 2025 as geopolitical pressures intensified. Data shows that while US crude imports to India increased by 65.6% to $8.2 billion during April-December 2025, Russian crude imports contracted by more than 17%, falling from $40 billion to $33.1 billion in the same period.
The December 2025 import figures illustrate the shifting calculus for Indian refiners. Russian crude shipments to India declined by 15.15% to $2.71 billion in December 2025, compared to $3.2 billion in December 2024, with Russia emerging as the only supplier among India’s top five to record negative growth. Industry sources indicate that private refiners had particularly favored Russian crude due to attractive pricing and their advanced refining capabilities.
Meanwhile, India’s other major crude suppliers expanded their market presence. Saudi Arabia demonstrated remarkable growth with a 61% year-on-year increase, supplying crude worth $1.75 billion in December 2025. The United States posted a 31% gain with shipments totaling $569.30 million. Iraq recorded a 4.56% increase to $2.37 billion, while the UAE contributed $1.65 billion, up 6% annually.
The reduction in Russian crude purchases appears linked to the US imposition of a 25% punitive tariff on Indian goods on August 27, 2025, designed to discourage purchases of sanctioned Russian petroleum. Despite the absence of any official government directive to Indian refiners to stop buying Russian crude, the economic implications of the tariff prompted a strategic reassessment. Monthly Russian crude imports declined from $3.62 billion in July 2025 to $2.71 billion in December 2025.
India’s total crude oil imports from approximately 39 countries reached $11.29 billion in December 2025, marking a 9.1% increase compared to December 2024. Cumulative imports for April-December 2025 totaled $105.10 billion, slightly below the $109.33 billion recorded in the same period of 2024. Government representatives emphasize that energy security for the nation’s vast population drives all decisions, with diversification strategies responding to objective market conditions.