India Increases Oil Purchases Outside of Russia Ahead of Alaska Summit

In a move influenced by the growing pressure from the United States, Indian refineries have significantly increased their oil purchases from sources outside of Russia ahead of the meeting between Russian President Vladimir Putin and U.S. President Donald Trump. Bloomberg reports that Indian state-owned companies have procured oil from the U.S., Brazil, and the Middle East for supply in September and October.

Private Indian refineries continue to purchase Russian oil through long-term contracts, despite the looming threat of secondary sanctions from the U.S. In response, Russian exporters have ramped up sales of Urals crude to China and have lowered the prices for products supplied in September and October. Some transactions are now being conducted in yuan and involve smaller banks due to concerns over sanctions.

Earlier, Indian authorities stated that Russia could become one of India's main export markets following the U.S. increase in tariffs. It should be noted that U.S. President Donald Trump signed an executive order imposing an additional 25% tariff on imports from India.