- The new law lets the President raise duties up to 100% ad valorem on all goods imported into the United States from a country among the five largest importers of Russian-origin crude oil or natural gas that knowingly makes new purchases after enactment.
- India is the second-largest importer of Russian crude behind China, and Russian barrels accounted for nearly half of all Indian crude purchases in recent months, peaking at a record 2.8 million bpd in July.
- Kpler expects India's Russian purchases to stabilize just above 2 million bpd, but New Delhi faces a choice between cutting discounted Russian supply and paying higher prices for alternative crude ahead of elections in several Modi-run states.
- India's Foreign Ministry said it remains committed to energy security for its 1.4 billion people through diversified sourcing, and that it will take all necessary measures to protect its trade and economic interests.
Quotes
“As stated on several earlier occasions, India remains firmly committed to ensuring energy security for its 1.4 billion people. It will continue to do so through diversified sourcing and on the basis of evolving market dynamics”
“From the perspective of the trade talks, this new legislation couldn't have come at a worse time”