"Content with India's Strategy on Russian Oil; No Intentions for Imposing Sanctions: USA"
Over the past few months, India has been raking in a steady flow of cheap Russian oil, not only to meet its domestic needs but also to refine it into gas for export to Europe and the United States.
The U.S. has no plans to slap sanctions on India for its oil purchases from Russia, as stated by Karen Donfried, the U.S. Aide Secretary of State for European and Eurasian Affairs. In her statement on Wednesday, she emphasized that the partnership between India and the U.S. is crucial and despite policy differences, both nations share a commitment to uphold the rule-based global order, respect territorial integrity, and sovereignty.
Geoffery Pyatt, the U.S. Assistant of State for Energy Resources, added that the U.S. is "comfortable" with India's approach to Russian oil purchases but continues to engage in discussions on the topic. He also highlighted that energy security is a recurring theme in recent bilateral discussions.
The price cap on Russian oil has been a topic of discussion, and senior U.S. diplomats believe it presents an opportunity for India, even though it is not participating in the price cap regime. In December, John Kirby of the U.S. National Security Council stated that the price cap would result in significant price cuts for countries like China and India.
In a nutshell, India is making the most of lower-priced Russian oil as its imports have reached two-year highs. According to data analytics firm Kpler, India exported about 89,000 barrels a day of gasoline and diesel to New York in the last month, marking one of the highest levels in nearly four years. Daily low-sulfur diesel movements to Europe reached 172,000 barrels in January, the highest since October 2021.
Sources:1. India is now the world's largest buyer of this Russian oil2. European Union unveils plan to cap Russian oil price3. India's crude oil imports from Russia surge, setting new records4. India's Russian Oil Imports Hit All-Time High5. India overtakes Iraq as Russia's top oil customer
The U.S. acknowledges India's strategic partnership and has no intention to impose sanctions on its Russian oil purchases. Despite the ongoing policy-and-legislation discussions regarding the price cap on Russian oil, the news of India's increased oil imports and subsequent gas and diesel exports to Europe and the U.S. under the general-news spotlight signifies a significant shift in global politics.
