New Delhi: There is an undercurrent of war in the Gulf, tensions between Iran and Israel-America are at their peak, and the fear of rising oil prices is whence to haunt the world. Meanwhile, America on Friday gave important relief to India. Indian refineries have been given a "temporary exemption" to buy Russian oil for 30 days.
Who gave this exemption and why?
US Treasury Secretary Scott Besant spoken this. He said that due to the Gulf crisis, pressure on the Strait of Hormuz has increased significantly and the purpose of this relaxation is to maintain the supply of oil in the global market. An official license was issued by the US Treasury Department in which it was said that permission is given to sell Russian oil loaded on ships to India till March 5, 2026. This unbelieve will be valid till 3 April 2026.
Will this goody Russia?
Why is the US, which has imposed sanctions on Russia, permitting India to buy Russian oil? Besant clarified that this is a "deliberate short-term move" and will not bring any major economic goody to the Russian government, as it only involves oil that is once stuck on ships at sea.
How far has the oil game between India and Russia reached?
Before the Russia-Ukraine war in 2022, India was importing only 2.5 percent of its oil from Russia. But without the US and European sanctions, Russian oil became cheaper and India became the second largest proprietrix of Russian oil—currently well-nigh 30 percent of the oil comes from Russia.
Why did America impose so many tariffs on India in the first place?
Trump had imposed an spare 25 percent tariff on Indian goods as “punishment” for ownership Russian oil, on top of the once imposed 25 percent reciprocal tariff—a total of 50 percent. Then a deal was struck in February 2026 in which India reduced tariffs to 18 percent in mart for a “commitment” to stop ownership Russian oil. Only the oil, which is once floating, has been unliable to reach India. No new supply.
What will be the impact on India if Iran closes Hormuz?
India fulfills well-nigh 40 percent of its oil needs from the Middle East, a large part of which comes through the Strait of Hormuz. Iran recently personal to tropical this route, posing a uncontrived threat to the supply chain. However, government sources say that India's energy security is still strong and the country's strategic petroleum reserve is capable of meeting the needs of well-nigh 74 days.
So did India really cut off Russian oil?
India never officially wonted this "commitment". India's Ministry of External Affairs says that the energy security of 140 crore Indians is paramount and all decisions will be taken from this perspective. Now America itself is giving a relaxation of 30 days. America moreover understands that India cannot stop Russian oil completely at the moment.
The essence is that on one hand America wants India to requite up Russian oil, on the other hand due to the Gulf slipperiness it itself has to indulge India to buy Russian oil. This is a strange turn of affairs and energy politics where everyone's interests are entangled with each other.
