India continues to buy oil from Russia, say government sources hours after Trump's 'good step' claim

Hours after US President Donald Trump claimed that he had heard that India is no longer going to buy oil from Russia, government sources said that oil refiners continue to purchase crude from Moscow. "Indian oil refiners continue to source oil from Russian suppliers. Their supply decisions are guided by price, grade of crude, inventories, logistics and other economic factors," sources were quoted as saying by news agency ANI.

Providing context for India’s decision to continue sourcing oil from Russian suppliers, sources said that Russia, the world’s second-largest crude oil producer with an output of around 9.5 mb/d (nearly 10% of global demand), is also the second-largest exporter, shipping about 4.5 mb/d of crude and 2.3 mb/d of refined products. Fears of Russian oil being pushed out of the market and the consequent dislocation of traditional trade flows drove dated Brent crude prices to soar to USD137 per barrel in March 2022.

“In this challenging environment, India, as the world’s third-largest energy consumer with 85% crude oil import dependence, strategically adapted its sourcing to secure affordable energy while fully adhering to international norms,” added sources. 

Notably, this comes after US President Trump claimed India may cease purchasing Russian oil, calling it "a good step" if confirmed, while India has defended its sovereign right to conduct energy policy based on national interest.

Slammed India-Russia ties 

Previously, President Trump slammed India-Russia ties, claiming "he doesn't care what India does with Russia". "I don't care what India does with Russia. They can take their dead economies down together, for all I care. We have done very little business with India, their tariffs are too high, among the highest in the world. Likewise, Russia and the USA do almost no business together. Let's keep it that way, and tell Medvedev, the failed former President of Russia, who thinks he's still President, to watch his words. He's entering very dangerous territory!" Trump said in a post on Truth Social.

Following his remarks, Ministry of External Affairs (MEA) spokesperson Randhir Jaiswal emphasized at a press briefing that India and Russia have a steady and time-tested partnership. "Our bilateral relationships with various countries stand on their own merit and should not be seen from the prism of a third country. India and Russia have a steady and time-tested partnership", Jaiswal said. 

Meanwhile, Russia also hit back at Trump, advising him not to disregard the dangers of those he labels "dead". Deputy Chairman of Russia's Security Council, Dmitry Medvedev, wrote on social media, "As for the talk about the 'dead economies' of India and Russia, and 'entering dangerous territory' - maybe he should recall his favorite movies about 'the walking dead,' and also remember how dangerous the so-called 'Dead Hand,' which doesn't even exist, could be."

With inputs from ANI