A Biden administration official told Reuters that a significant rise in Russian oil imports by India could expose New Delhi to “great risks” as Washington is stepping up its threats against India for its cooperation with Moscow.
US sanctions currently have exemptions for oil deals, as many European countries are reliant on Russian energy. But the comments suggest that the US might take the step to start targeting Russian oil sales.
India has been taking advantage of cheap Russian oil and has purchased at least 13 million barrels of oil since the attack on Ukraine started on February 24. In all of 2021, India only imported 16 million barrels.
The Biden official, who spoke to Reuters on the condition of anonymity, said that the US has “has no objection to India buying Russian oil provided it buys it at discount, without significantly increasing from previous years.” The official said that the US would “allow” some increases.
The Biden administration recently threatened to hit India with sanctions over its stockpile of Russia’s arms and has been critical of New Delhi’s stance on the invasion of Ukraine. India has called for an end to the fighting but has abstained from condemning Russia’s attack.
The pressure from the US doesn’t seem to be doing much as Russian Foreign Minister Sergey Lavrov is in New Delhi for talks. Lavrov and his Indian counterparts are expected to discuss a Russian proposal to make rupee-ruble-denominated payments using a Russian alternative to the SWIFT messaging system.
The US and its allies imposed sanctions to cut off some Russian banks from SWIFT, which is the primary messaging system used for international financial transactions. In another response to the US-led sanctions campaign, Russian President Vladimir Putin has said he will stop selling gas to “unfriendly” European countries if they don’t pay in rubles starting Friday.
37 thoughts on “US Warns India Against Significant Increase in Russian Oil Imports”
Hey I remember that thing called BRIC. Maybe they can work on that idea some more now more than ever.
Already in progress.
BRICS Brazil, Russia, India, China and South Africa.
That acronym is going to get longer over the next few years
Millionaire drives up to the bus stop and sees a beautiful woman. Rolls down the widow of the Rolls Royce and says “Would you spend the night with me if I give you a million dollars ?”
The girl looks at him and says “Well, yes.”
Millionaire : “How about one hundred dollars ?”
Girl : “What do you think I am ?”
Millionaire : “We have already established that, all we are negotiating is the price.”
USA does not mind India buying oil, merely objects to India undercutting the ‘New Price’ that will make the US oil conglomerates even richer.
“USA does not mind India buying oil, merely objects to India undercutting the ‘New Price’ that will make the US oil conglomerates even richer.”
Hardly “US conglomerates”, Russian oil revenues.
No, Russia setting it’s own prices does not undercut Russia, but the prices that the USA oil controllers would charge the customer.
By reducing the supply of oil, the major corporations, Exxon, BP, Shell etc can increase the value of their holdings and reserves without having to do a damn thing. It is windfall profits as none of their costs have changed so every cent increase goes directly to profit, bonuses and shareholders
I strongly doubt Wall St. (ie. the US Gov’t) objects to Exxon, etc. making bigger profits. It’s Russian Gov’t revenues they’re trying to strangle this long time.
“Jake Johnson March 29, 2022 A new analysis released Tuesday estimates that U.S. oil and gas corporations are poised to rake in windfall profits of up to $126 billion.”
That is on their inventory, the additional profits in their retail operations will probably be more than $250 billion.
Russia doesn’t care, it is happy to trade at the pre-invasion price with “Friendly” nations and screw the “Unfriendly” with both spot prices and payment in Gold or Roubles.
The increase in Oil and Gas prices from Russia to Europe (+30%) has paid for the war twice over.
The sanctions are harming the people of Europe far more than the Russians. Unlike America, in Russia the Oligarchs do not run things, the Duma does.
Winston Churchill explained US problem solving, saying, “The Americans will always do the right thing after exhausting all other options.”
Agreed, as far as it goes. But the whole point of the US gov’t is to shift wealth to Wall St. It only maintains the populist feint as part of its jingoist propaganda to maintain pop morale.
It’s as always the buyers market, Putin is forced to almost give away the Russian oil for free. Sad.
Don’t be ridiculous.
It is a seller’s market. The US and Europe are begging for the producers to increase volume.
Russia is fulfilling all current contracts and are selling new contracts at spot price AND demanding Roubles from any but “Friendly” nations.
Middle eat and Venezuela, Iran are telling US and Europe to P Off, they are not going to do them any favours (or even speak to them).
The Rouble has returned to it’s pre-war price against all currencies, and Russia is having Europe and the increase in oil prices pay for his war and make a profit over and above his pre war revenue.
I don’t think you have followed the last developments, comrade:
1) Russia selling oil at substantial discounts
2) Buyers are refusing to pay in rubles, Russia continues to deliver oil
3) The ruble has strengthened again, but only because Russia imposed restrictions on exchanging rubles. Hence, today’s “market price” for ruble isn’t a market price, it’s a fictive price. Once removed, the ruble is guaranteed to collapse.
And I think you are reading to much WaPo or NYT.
1) The discounts on Urals oil below Brent spot price are being offered not just by Russia but by all traders including Norway, so no it is not the country that the discount is for but the grade of Oil.
India bought a years supply or about 2 hours of Russian production at a discount (not massive) of $6.00 on a spot price of $36. IE the massive reduction was equivalent to $90 m, compared to the sale of S-400 systems to India worth several billion.
2)Buyers are basically unable to buy in Roubles without making USA mad. This is Putin giving Biden (et al) the finger. At present all deliveries of contracts before 31 March are still being delivered. There is no data on what (if any) contracts have been signed for delivery after 1 April.
G7 and other “not friendly” countries have to make up their minds before the current contracts expire. Russia has always delivered on all contracts including delivery of Sovereign debt discounts. Putin has also always delivered on his threats.
3) The rouble has regained value because the world needs Russian exports. Currency control is to stop USA looting a currency as they have to dozens of currencies world wide over the last 100 years.
You may wish to investigate when and why the “Berlin wall” was introduced.
It has been applied by all of the world’s Central banks at some time or other since 1299, including the USA,.
“Regulations on Foreign Exchange Trading
The Chicago Futures Trading Commission regulates forex brokers. It oversees all U.S. forex brokerage companies, enforces its regulations, and prosecutes outright fraud.”
Today’s market price is today’s market price at which Roubles can be bought and sold.
Any other interpretation is dishonest and/or stupid.
Haha, you have clearly been living under a rock and now you are off your meds too.
Go back and make a proper analysis and we can have a real discussion, comrade.
When your only argument is ad hominem comments, you are a loser.
I produce facts and like most people you cannot face the truth. So you cling to your silly opinions.
You are a really sad excuse for a human being.
Produce verifiable facts or admit that you are an idiot.
Haha, you are so retarded that you don’t even understand that you are an idiot.
Are you parents perhaps siblings, that would explain your condition?
US Warns US Against Significant Increase in Russian Oil Imports
Unfettered capitalism? Commerce? Sovereign nations conducting business? India needs to tell us to pound sand.
What will the US do when there is no one left to sanction?
exactly my thought when i saw the caption
And what will Russia do when no one wants to buy their weapons anymore?
They have turned out to be pretty useless so far…
Time to make a choice, be a vassal of us and try to lord over south Asian neighbors or be a major player in deciding the shape of the new world order
Just. Plain. Great. Now we’re talking sanctioning India, one of the world’s great economies.
Leave India the f*** alone. Just another instance of Amerikkkan hegemony, because WE KNOW that India and China are the future.
Buh-bye to Amerikkkan dominance. Coming to a theater near you, and sooner than you think.
Also the world’s largest democracy.
Another enemy for the future. Sickening warmongery in advance.
And India/Pakistan has a long and bitter history of being high-handed by Anglos, … so, way to go Blinken.
Sanction has become joke
Warn all you want… Nothing will change…!
And who is a threat to boss the world?
We will see more about the switch from US world hegemon to a more democratic multipolar world, with India fully involved as a member of BRICS — Brazil, Russia, India, China and South Africa. A large portion of India’s military gear came from Russia, including the S-400 anti-air system.
At least this is my dream as an anti-US person.
Of course the problems are many, Brazil and South Africa are neutral countries and India has recently BEEN AT WAR with China. And their percentage of Russian military gear is rapidly shrinking.
I think we’re playing poker now. If even one additional major country calls Blinken’s bluff, the US may be forced to fold.
We will allow you to import Russian oil at discount? This is the problem and why countries will move away from the dollar sooner than later. Although you may not realize it now, you do not run the world, and will find that out in the near future.
It hardly matters to India. The currency swap deal with Russia already signed. Now US is threatening India because of Russian military coproduction, not just purchases. Note how the noise drowned out on S-400 purchased by India and Turkey. What now? UAE signed up a mega coproduction deal for Russian 5th gen warplanes.
And US has reclassified Russian fertilizer as “essential commodity ” not subject to sanctions. But objects when others protect their needs,
Since Mexico has not joined the Russia demonization brigades, US accussed them of hosting Russian spies. To which Mexico’s president replied “we are not a colony”.
What seems to have excaped attention to geniuses in State Department, is that this conflict has been anticipated, and carefully sprung bait — deliberately taken.
That is the situation Sun Tzu called “know yourself,
know your enemy”. In this case, US failed to see the bigger picture. All these countries that jouned Russia-China led Shanghai Cooperation Organization—did it for a reason. They are not sucking thumbs there.
The joyful trashing of Russia in media and by politicians is whistling by the graveyard.
Not one thing has gone right for NATO thus far.
Except one. Boris Johnson said that Putin should not be allowed to be SEEN as winning. That is the key
All the stories of Russia stalling, blundering, low morale, all from the creative British Royal Theatre MI5 productions.
This is a long term game. And should Russia quit today, it already achieved territorial gauns it plans to keep. Kherson region adjacent to Crimea, entire Aziv Sea coast. and Dinbas in its pre-2014 borders.
Demilitarization is already largely achieved.
But denazification is still waiting to be tackled. And the influence of Lviv on Kyev has to end.
How will Kyiv and Odessa be denazified? We shall see.
The process may take time. And Russia is not likely withdrawing untill a firm separation between Lviv controlled region and the rest of Ukraine is established.
Otherwise, Russia is wasting time. The moment it leaves — the oriblens will restart with vengeance.
What stupidity!! US trying to pick on a country like India with a population of 1.4 billion people. But then it’s all part and parcel of American sanctions policy isn’t it – to bully, threaten, intimidate the rest of the world to do their dirty work
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