Iraq and UAE Maintain Steady Growth as India Rebalances Crude Procurement

India’s crude oil import data for 2025 shows steady growth from traditional Middle Eastern suppliers Iraq and the UAE, even as dramatic shifts occurred in the broader supplier mix. While US crude imports to India increased by 65.6% to $8.2 billion during April-December 2025, Russian crude imports contracted by more than 17%, falling from $40 billion to $33.1 billion in the same period.
December 2025 import figures demonstrate the stability of India’s relationships with Iraq and the UAE. Iraqi crude shipments to India totaled $2.37 billion, representing a 4.56% year-on-year increase, while UAE crude imports reached $1.65 billion, up 6% from December 2024. These moderate but consistent growth rates contrast with the more dramatic changes seen in Russian and Saudi shipments.
Russia experienced a significant decline, with crude imports falling 15.15% to $2.71 billion in December 2025 from $3.2 billion in December 2024, making it the only supplier among India’s top five to record negative growth. Conversely, Saudi Arabia posted spectacular growth of 61% to $1.75 billion, while the United States increased shipments by 31% to $569.30 million.
The contraction in Russian crude imports appears linked to geopolitical pressures. The US implementation of a 25% punitive tariff on Indian goods on August 27, 2025, was designed to discourage India from purchasing sanctioned Russian petroleum. Monthly Russian crude import values declined from $3.62 billion in July 2025 to $2.71 billion in December 2025, demonstrating the policy’s growing impact.
India’s aggregate crude oil imports from all sources reached $11.29 billion in December 2025, up 9.1% from $10.34 billion in December 2024. Cumulative imports for April-December 2025 totaled $105.10 billion, slightly below the $109.33 billion recorded in the same period of 2024. Officials emphasize that diversifying energy sources based on market conditions and international dynamics remains central to ensuring energy security.