US Emerges as Key Energy Partner as India Reduces Dependency on Russian Crude

India’s energy import statistics for 2025 reveal a significant reorientation toward American crude oil, with imports from the United States experiencing an exceptional 65.6% annual increase to $8.2 billion during April-December 2025. This surge coincides with a notable reduction in Russian crude purchases, which declined by more than 17% to $33.1 billion from the previous year’s $40 billion, according to official records.
December 2025 data underscores this transformative shift in India’s energy procurement strategy. Among the nation’s five principal crude suppliers—Russia, Iraq, the UAE, Saudi Arabia, and the US—only Russia witnessed declining imports. The value of Russian crude shipments fell 15.15% to $2.71 billion in December 2025, compared to $3.2 billion in the corresponding month of 2024.
The performance of India’s other major suppliers painted a contrasting picture. Saudi Arabia emerged as the fastest-growing supplier with a remarkable 61% year-on-year increase, delivering crude worth $1.75 billion in December 2025. American crude imports expanded by 31% to reach $569.30 million, while Iraqi supplies increased modestly by 4.56% to $2.37 billion. The UAE contributed $1.65 billion in crude shipments, marking a 6% annual growth.
The decline in Russian crude imports appears directly linked to geopolitical pressures. Experts note that the US implementation of a 25% punitive tariff on Indian goods, effective from August 27, 2025, was specifically designed to discourage India from purchasing sanctioned Russian petroleum. The impact became increasingly visible as monthly Russian crude imports fell from $3.72 billion in November 2025 to $2.71 billion in December 2025—a sharp 35% contraction.
India imported crude oil valued at $11.29 billion from approximately 39 countries in December 2025, reflecting a 9.1% increase over December 2024. Government representatives have consistently emphasized that energy security for India’s vast population remains the highest priority, with source diversification playing a crucial role in achieving this objective amid evolving global dynamics.