India Navigates Delicate Balance Between U.S. and Russia Oil Purchases

As India seeks to strengthen trade ties with the U.S., its continued oil purchases from Russia complicate negotiations.

Published on Feb. 12, 2026

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India has found itself in a complex geopolitical position, balancing its relationships with the U.S. and Russia as it navigates trade negotiations and oil purchases. While India has not confirmed it will stop buying Russian oil, it has gradually reduced its purchases in recent months. The U.S. and India have reached an interim trade deal, but the full bilateral agreement is still under negotiation, with India's stance on Russian oil potentially being an unspoken sticking point.

Why it matters

India's position is crucial as it seeks to strengthen economic ties with the U.S. while maintaining its historic defense relationship with Russia. The ambiguity around India's oil purchases from Russia has led to speculation about behind-the-scenes understandings between the three countries, with implications for global energy markets and India's economic future.

The details

India imports 85-90% of its crude oil, and its purchases from Russia ramped up nearly 40% following the Ukraine war due to discounted prices. After the U.S. imposed a 25% penalty on Russian oil purchases, India's imports from Russia have gradually declined to around 20% of its total. However, India has not confirmed that it will stop buying Russian oil, and the U.S. has revised its fact sheet on the trade deal, removing references to India committing to reduce Russian oil imports.

  • In the past two months, India's purchases of Russian oil have been inching downwards toward the 20% mark.
  • On Feb. 2, U.S. President Donald Trump announced a truce, removing the 25% additional penalty imposed for buying Russian oil and claiming that India had committed to stop these purchases.
  • Six days after the interview with India's Petroleum and Natural Gas Minister Hardeep Singh Puri, U.S. President Donald Trump announced the truce.

The players

Hardeep Singh Puri

India's Petroleum and Natural Gas Minister, a former diplomat with 50 years of experience.

Donald Trump

The former President of the United States who imposed the 25% penalty on India for purchasing Russian oil.

Narendra Modi

The Prime Minister of India.

Piyush Goyal

India's Commerce Minister.

Vikram Misri

India's Foreign Secretary.

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