Has India reduced oil imports from Russia after agreement with US? Know which companies are affo

New Delhi: India is likely to gradually reduce its crude oil purchases from Russia as part of a tariff reduction agreement with the United States. Officials told the media that however, these imports will not be completely stopped for now, as refineries like Nayara Energy have limited options.

On Friday, US President Donald Trump signed an executive order revoking the 25 percent punitive duty on all imports from India. He said this step follows New Delhi's commitment to stop oil imports from Russia.

Have Indian refineries reduced Russian oil imports? 

Officials familiar with the matter said that while refineries have not received any formal instructions to stop purchasing from Russia, they have been informally advised to reduce purchases from Moscow. According to sources, most refineries will honor purchase commitments made before this announcement (typically orders placed 6-8 weeks in advance), but no new orders will be placed after that.

Which companies have reduced Russian oil imports? 

Hindustan Petroleum Corporation Limited (HPCL), Mangalore Refinery and Petrochemicals Limited (MRPL), and HPCL-Mittal Energy Limited (HMEL) stopped purchasing oil from Russia soon after the US imposed sanctions on major Russian exporters last year. Now, Indian Oil Corporation (IOC) and Bharat Petroleum Corporation Limited (BPCL) will also gradually phase out their purchases.

Reliance Industries Limited, India's largest buyer, may also stop purchasing Russian oil after receiving a shipment of 150,000 barrels in the next few weeks, having stopped purchases following US sanctions on Rosneft and Lukoil late last year. The only exception to this rule may be Nayara Energy. Nayara was first sanctioned by the European Union and then by the UK due to its Russian ties (Rosneft holds a 49.13 percent stake in Nayara). These sanctions have prevented other major suppliers from engaging in commercial transactions with the company, forcing it to purchase Russian oil from entities that are not sanctioned.

What has the petroleum ministry said? 

While the Petroleum Ministry has declined to comment on the issue, the Commerce Ministry and the Foreign Ministry have also not directly responded to India's commitments regarding Russian oil purchases. Sources said that India's oil imports from Russia have been steadily declining since the imposition of US sanctions on Rosneft and Lukoil.

This specific situation of Nayara was highlighted during talks with US officials in December. Sources say that Nayara may be exempted from the "no Russian oil" policy. Sources said that Nayara Energy is likely to continue purchasing Russian oil from entities that are not subject to sanctions in the near future.

How much Russian oil does India buy? 

Imports from Russia averaged 1.2 million barrels per day in December 2025, significantly lower than the peak of 2.1 million barrels per day in May 2023. In January, they fell to 1.1 million barrels and are expected to fall below 1 million barrels this month or next. Following the new agreement with the United States, these imports could soon be halved. India meets approximately 90 percent of its crude oil needs through imports. Discounted oil from Russia, due to Western sanctions imposed on Moscow after the February 2022 invasion of Ukraine, has helped reduce India's import bill.

According to Sumit Ritolia, principal research analyst at Kpler, oil from Russia is already scheduled for the next 8-10 weeks and is economically vital for India's refining system. However, Prashant Vashisht of the Investment Information and Credit Rating Agency (ICRA) says that India has ample alternatives, such as the United States and Venezuela.