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India Shifts Oil Strategy to Boost US, Venezuelan Crude Purchases

Bloomberg Markets •
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India has instructed state-run refiners to evaluate increasing crude oil purchases from the United States and Venezuela, according to Bloomberg Markets. The move follows a 2020 trade agreement with the Trump administration that included commitments to reduce reliance on Russian energy supplies amid Western sanctions.

The shift marks New Delhi's effort to balance diplomatic ties while securing diverse energy sources. India currently imports over $50 billion worth of crude annually, with Russia becoming its top supplier after the Ukraine invasion. State-owned processors like Indian Oil Corp. now face complex logistics to redirect procurement.

Venezuela's inclusion signals a pragmatic approach as the South American nation rebuilds oil exports after US sanctions eased last year. This pivot comes as Washington pressures allies to limit dealings with Moscow, testing India's longstanding policy of prioritizing cost-effective energy imports over geopolitical alignments.