Tuesday, 02 January 2024 12:17 GMT

U.S. And UAE Ramp Up Oil Supplies To India Amid U.S. Tariff Pressures


(MENAFN- KNN India) New Delhi, Sep 6 (KNN) India has increased spot purchases of crude oil from the United States and the United Arab Emirates this year, especially in August, to meet immediate energy needs amid growing geopolitical tensions and U.S. tariff pressure.

Market data and industry officials confirm that India recorded one of its highest import levels of U.S. and UAE crude in recent months.

The move comes after the U.S. administration sharply raised tariffs on Indian goods in late August 2025. Import duties were doubled from 25% to 50%, as Washington's response to New Delhi's continued imports of discounted Russian oil.

These sanctions are part of broader U.S. efforts to discourage countries from relying on Russian crude, which remains a key source of India's energy security.

Despite these developments, India has reiterated that its oil import strategy is driven by commercial considerations and national interest.

Finance Minister Nirmala Sitharaman emphasised that India will continue buying Russian oil whenever necessary, highlighting the government's commitment to keeping energy affordable and accessible.

This trend reflects India's balancing act between securing reliable energy supplies, diversifying sourcing through the U.S. and Gulf nations, and managing international diplomatic pressures.

Analysts note that while U.S. and UAE crude provide alternatives, Russian oil remains attractive due to its pricing advantage.

India's approach underlines its strategy of energy diversification and strategic autonomy at a time when global alignments are shifting and trade tensions are rising.

(KNN Bureau)

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