Seizing an Opportunity Amidst War… India Makes a Major Strategic Move, Dealing a Blow to China!

New Delhi: As the conflict between Iran and the United States disrupted oil and gas supplies through the Strait of Hormuz, India has significantly ramped up its imports of Russian oil. India recorded a massive surge in crude oil purchases from Russia during the month of March. According to a report by The Times of India, India imported 90 percent more oil in March compared to February.

Meanwhile, the ongoing conflict in West Asia led to an approximately 15% decline in the country’s total crude oil consumption. A Bloomberg report further notes that the disruption of oil and gas supplies to India—caused by the potential closure of the Strait of Hormuz due to the conflict—resulted in a 40% drop in petroleum gas imports. Additionally, natural gas supplies have also faced disruptions.

Consequently, India was compelled to seek alternative sources, which explains its aggressive procurement of Russian oil. The report also indicates that this surge occurred following the expiration of a 30-day waiver granted by the United States. However, in addition to Russia, India has also increased oil imports from several other nations.

Oil Imports from Other Nations Alongside Russia
These include African nations such as Angola, Gabon, Ghana, and the Congo, from which shipments of crude oil are currently arriving in India—though the volume remains lower than that of Russian oil. According to Kpler, some relief was provided by Middle Eastern suppliers who resumed deliveries via pipelines bypassing the Strait of Hormuz; these include pipelines belonging to Saudi Arabia and the UAE. These alternative routes helped maintain partial supply flows despite the maritime disruptions.

Oil Supplies from Iran and Venezuela as Well
Thanks to the aforementioned waivers, India is able to continue purchasing Russian oil through April, thereby ensuring it maintains adequate stock levels. Furthermore, India retains the option to source oil from both Venezuela and Iran. India has already imported a certain quantity of oil from Iran—a trend that is expected to continue in the future.

Where is the Gas Supply Coming From?
In addition to Russia, India is sourcing its gas supplies from the United States, Oman, Angola, and Nigeria, as imports of Liquefied Natural Gas from Qatar have plummeted by 92 percent. India previously imported the largest volume of gas from Qatar; however, due to disruptions in supply, the country has now diversified its portfolio.

A Setback for China
Meanwhile, China has faced a setback as a result of India increasing its imports of Russian oil. Some reports indicate that a decline has been observed in China’s imports of Russian oil, though this does not constitute a massive drop. While China imported larger volumes of oil from Russia during January and February, these imports witnessed a decline of over 5 percent in March.