China's Russian Oil Grab Leaves Indian Refiners Struggling
China's resumption of large-scale imports of Russian crude has had an unexpected consequence for India, its largest buyer. According to commodity analysts Kpler, China imported 1.25 million barrels per day (bpd) of seaborne Russian crude in August, down slightly from July but still a significant amount.
India, on the other hand, saw its imports of Russian crude decline to 1.87 million bpd in August, down from 2.79 million bpd in July and 2.73 million bpd in June. This is because China has been taking more Russian oil from Asian ports, which India usually sources from.
The impact on India's refiners will only be felt starting September, but it could lead to a shortage of crude for fuel production. India is a major exporter of diesel and gasoline, and any decrease in exports would exacerbate the already tight markets for refined products in Asia.