India Hits Record Russian Oil Imports Amid Middle East Crisis

The Government of India increased imports of Russian crude oil to a record 2.8 million barrels per day in July 2026, accounting for 55.5% of the country's total crude imports. This figure surpasses the previous monthly record of 2.7 million barrels per day set in June. This surge followed a period between March and June 2026 where imports climbed due to the closure of the Strait of Hormuz after U.S. and Israeli attacks on Iran in February.

To maintain these flows despite U.S. sanctions, India utilized a series of U.S. sanctions waivers issued between March 12 and May 17. Although the final waiver expired on June 17, imports remained near-record levels in July. To stabilize its exchange rate and reduce foreign currency outflow, India paid approximately $14.6 billion for imports in rupees during March, April, and May.

Russian exports have increased as Ukrainian drone attacks on domestic facilities, including the Yanos refinery in Yaroslavl, forced Russia to divert crude overseas. Simultaneously, instability in the Bab el-Mandeb Strait and the Strait of Hormuz—driven by the collapse of a U.S.-Iran peace deal and subsequent naval blockades—disrupted supplies from the Middle East. While the United Arab Emirates and Saudi Arabia remain major suppliers, they have been forced to use shipping workarounds, such as the Yanbu export port and pipelines to Fujairah, to bypass the Hormuz crisis.

In response to these trends, a bipartisan group in the U.S. Senate has proposed a bill that would target the top five purchasers of Russian oil with tariffs up to 100%.