Media: US signals India can resume Venezuelan oil purchase

The United States, which last year imposed tariffs on India for purchasing Venezuelan oil, has informed New Delhi that it may soon be allowed to resume those purchases to help replace declining imports of Russian crude, three sources familiar with the discussions told Reuters.

India had pledged to sharply reduce its purchases of Russian oil after Washington increased tariffs linked to those imports, and it is now on track to cut Russian crude imports by several hundred thousand barrels per day in the coming months, the sources said, speaking on condition of anonymity.

In March 2025, President Donald Trump imposed a 25% tariff on countries that buy Venezuelan oil — including India — as part of a broader effort to pressure Caracas and discourage states from purchasing Venezuelan crude. Since then, the United States has stepped up its campaign against Venezuelan President Nicolás Maduro, whom US forces captured on January 3, and Washington has begun directing Venezuela’s Caracas government while planning to exert ongoing control over the country’s oil sector.

The push to offer Venezuelan crude to India comes as Washington also aims to reduce revenue from Russian oil exports, which are helping to fund Russia’s war in Ukraine.

It was not clear from the sources whether the Venezuelan oil would be sold directly by Venezuela’s state-owned PDVSA or marketed through independent trading houses such as Vitol and Trafigura.

The White House and the US Treasury Department declined to comment on the matter. India’s Oil Minister and the Ministry of External Affairs did not respond to requests for comment.

India became a major buyer of Russian crude after Russia’s invasion of Ukraine in 2022, when Western sanctions drove down the price of Russian oil. Indian Energy Minister Hardeep Singh Puri recently said India is diversifying its crude sources as its imports from Russia decline.

Two sources told Reuters that India is preparing to reduce Russian oil imports to below one million barrels per day. In January, imports were about 1.2 million bpd and are expected to fall to around 1 million bpd in February and 800,000 bpd in March, one source said. The second source projected that Russian oil imports could eventually drop to roughly 500,000–600,000 bpd, supporting India’s efforts to secure a broader trade agreement with the United States.

The shift away from Russian oil has already led Indian refiners to increase purchases from other regions, including the Middle East, Africa, and South America.

By Tamilla Hasanova