In a significant shift in global energy dynamics, India has fallen to the third position among the largest importers of Russian oil in December 2025, being surpassed by Turkey. China, meanwhile, has maintained its dominant position as the top buyer. This change marks a notable departure from India's previous role as the second-largest importer, a position it had solidified in the wake of global sanctions against Russia. The primary drivers behind this reordering are substantial cuts in crude. Oil purchases by major Indian entities, including Reliance Industries and state-owned refineries.
India's Shifting Stance on Russian Oil
In December 2025, India became the third-largest importer of Russian oil, having previously held the second spot, while turkey has now surpassed India to claim the second position, while China remains firmly at the top. This shift is primarily attributed to significant reductions in crude oil purchases by major players such as Reliance Industries and various government-owned refineries. This strategic adjustment reflects India's efforts to balance its energy security needs with evolving geopolitical pressures and economic considerations.
The Strategic Role of Russian Oil for India
From 2022 to 2025, Russian oil played a crucial role in supporting the Indian economy. When much of the world shunned Russian oil following the invasion of Ukraine, India stepped forward to purchase discounted crude, transforming a global crisis into an economic opportunity. India refined this Russian oil and subsequently sold refined products to various countries, generating billions of dollars in revenue. This strategic move had elevated India to become the second-largest importer of. Russian crude, demonstrating its ability to navigate complex geopolitical landscapes for economic gain.
Impact of US Tariffs and Sanctions
The landscape has rapidly changed due to increasing pressure from the United States. America has imposed an additional 25 percent tariff on India for purchasing Russian oil. Plus, the US is reportedly preparing to pass a bill that could enable former President Trump to levy tariffs of up to 500 percent on countries like India, China, and Brazil for their continued engagement with Russian oil. These existing and potential economic deterrents have compelled India to reduce its supply of Russian oil, leading to the current decline in import volumes.
Key Findings from the CREA Report
The European think tank, Centre for Research on Energy and Clean Air (CREA), reported on. Tuesday that India slipped to third place among buyers of Russian crude oil in December 2025. This was primarily due to a significant reduction in crude oil imports by Reliance Industries and government-owned refineries. According to CREA, India's total Russian hydrocarbon imports in December amounted to 2. 3 billion euros, a considerable decrease from 3. 3 billion euros in November. This data underscores the immediate impact of the policy shifts and economic pressures on India's energy procurement.
Turkey's Ascent and China's Continued Dominance
CREA further stated that Turkey emerged as the second-largest importer in December, purchasing 2. 6 billion euros worth of Russian hydrocarbons, thereby overtaking India. China, however, remained the top buyer, accounting for 48 percent (6 billion euros) of Russia's export revenue among the top five importers. China's purchases were dominated by crude oil, which constituted 60 percent (3, while 6 billion euros) of its total, followed by coal and pipeline gas. This highlights China's unwavering commitment to Russian energy sources despite global scrutiny.
Analyzing the Decline in India's Imports
In December, India's 2. 3 billion euros worth of Russian hydrocarbon imports comprised 78 percent crude oil (1. 8 billion euros), with coal (424 million euros) and oil products (82 million euros) making up the remainder. In November, India had spent 2. 6 billion euros on Russian crude oil, which is processed in domestic refineries to produce fuels like petrol and diesel. CREA noted a sharp month-on-month decline of 29 percent in India's Russian crude oil imports, marking the lowest level since the price cap policy was implemented, even amidst a slight increase in overall imports.
Major Refineries Curtail Purchases
The reduction in imports was largely attributed to Reliance Industries' Jamnagar refinery, which halved its imports from Russia in December. CREA indicated that all of their imports were from Rosneft, though these cargoes were purchased before the US Office of Foreign Assets Control (OFAC) sanctions came into effect, while state-owned refineries also reduced their Russian purchases by 15 percent in December, signaling a broader trend across the Indian refining sector.
The Far-Reaching Effects of US Sanctions
The United States has imposed sanctions on two of Russia's largest oil producers, Rosneft and Lukoil. These sanctions have led companies such as Reliance, Hindustan Petroleum Corporation Limited (HPCL), HPCL-Mittal Energy Limited, and Mangalore Refinery and Petrochemicals Limited to temporarily halt or reduce their imports, while however, Indian Oil Corporation (IOC) continues to procure oil from non-sanctioned Russian entities, indicating a nuanced approach to compliance within the Indian market.
India's Return to Traditional Suppliers
Experts suggest that India has now shifted its focus back to its traditional suppliers, primarily from the Middle East. Concurrently, there has been an increase in the purchase of American oil, contributing to the observed reduction in Russian oil supplies. This strategic pivot reflects India's efforts to diversify its energy sources. And mitigate risks associated with geopolitical pressures and potential future sanctions.
Export Flows of Russian-Refined Products
CREA also shed light on export flows from refineries processing Russian crude oil. In December, five refineries in India, Turkey, and Brunei that take advantage of Russian crude oil exported 943 million euros worth of oil products to sanctioning countries. These importers included the European Union (436 million euros), the United States (189 million euros), the United Kingdom (34 million euros), and Australia (283 million euros). An estimated 274 million euros worth of these products were refined from. Russian crude oil, highlighting the indirect flow of Russian energy to Western markets.
Regional Variations in Export Trends
Exports to sanctioning countries saw a month-on-month decrease of 9 percent, with the European Union and the UK contributing most Notably to this decline, experiencing monthly drops of 26 percent and 53 percent, respectively. Conversely, exports to Australia increased by 9 percent to 284 million euros, with India's Jamnagar refinery (132 million euros) and Brunei's Hengyi refinery (116 million euros) being the largest contributors. Exports to the US from Jamnagar and Tupras Aliaga refineries surged by 121. Percent, reaching 189 million euros, indicating a complex web of refined product trade.
China's Sustained Import Growth
Meanwhile, China remained the largest buyer of Russian oil, accounting for 48 percent (6 billion euros) of the total revenue from the top five importers. Crude oil purchases constituted 60 percent (3. 6 billion euros) of this, followed by coal and pipeline gas. Seaborne crude oil imports increased by 23 percent month-on-month, primarily driven by higher arrivals of ESPO-grade crude, while Urals-grade crude imports rose by 15 percent, reaching their highest level in the fourth quarter since Q2 2023, while this demonstrates China's strong and growing appetite for Russian energy resources.
