Putin reaffirms India as key energy partner despite sanctions heat
New Delhi, Dec. 7 – During his trip from 3 to 5 December 2025, Russian President Vladimir Putin used his visit to New Delhi to signal to India that energy ties remain a top priority for Moscow, a report on India Narrative indicates. While meeting Indian officials, he reiterated Russia’s pledge to deliver “uninterrupted shipments” of fuel to India and praised Indian partners as “very reliable.”
The timing was clear: India’s imports of Russian crude had just hit a five‑month peak, even after the United States imposed secondary sanctions on 21 November. Since 2022, India’s reliance on Russian oil has surged, and refineries appear reluctant to back away amid mounting hurdles. Among the biggest buyers is Nayara Energy, which has sourced more than half of its crude volume from Russia between 2023 and 2025. In several months of 2024, roughly 60 % of the crude processed at the Vadinar refinery came from Russian grades such as Urals and ESPO.
Keeping Russian crude flowing is becoming harder. Many Western insurers have withdrawn coverage for vessels linked to the so‑called “dark fleet,” pushing up shipping costs. Freight rates on the Russia‑India corridor have risen by about 20 % since mid‑2025, and maritime brokers report that nearly 40 % of the tankers once used for this route are now deemed high‑risk or uninsurable. Refiners therefore have to rely on unfamiliar carriers and more circuitous shipping paths.
Payment channels are also evolving. With U.S. enforcement tightening, Indian buyers are increasingly settling in dirhams and yuan. While these alternatives are functional, they carry compliance and currency‑stability concerns.
Despite these challenges, analysts point out that U.S. sanctions target specific entities rather than prohibiting Russian crude outright. This has prompted refiners to adjust their strategies instead of severing ties. Industry insiders note a surge in off‑shore manoeuvres such as ship‑to‑ship transfers, mixed cargoes, and re‑documentation through hubs like Fujairah, Malaysia, and selected Turkish ports. Similar tactics have historically allowed sanctioned oil to reach global markets through opaque but dependable routes, the report added.
Indian refiners still favour Russian barrels mainly because of price: Russian crude remains $4–$7 cheaper per barrel than comparable Middle Eastern grades. The Kremlin’s reaffirmation during this visit underscored Moscow’s desire to keep the energy partnership alive.
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