Russian Crude Exports to India Hit Two-Year Low

The decline is primarily driven by market economics rather than the immediate threat of U.S. sanctions. Urals oil loaded in Baltic ports has seen its price climb to near-parity with Middle Eastern crudes, which have become more accessible as regional supply chains through the Strait of Hormuz stabilize. With Urals currently trading at premiums exceeding $10 per barrel over Dated Brent, Indian refiners are pivoting toward more cost-competitive Gulf supplies.

Adding to the pressure, demand from Chinese buyers has intensified, creating a supply squeeze for Russian grades. While U.S. legislation signed by President Donald Trump authorizes potential tariffs of up to 100% on nations importing significant quantities of Russian energy, refiners remain focused on the bottom line. Although India has not officially mandated a reduction in Russian imports, the combined weight of shrinking price advantages and looming trade risks has forced a retreat from the heavy reliance on Moscow established over the past two years.