China ramps up Russian oil purchases as India and Turkey reduce imports

The United States and the European Union imposed sweeping sanctions in late 2025 targeting Russian oil sellers and shippers, including energy giants Rosneft and Lukoil

• China boosts Russian oil imports in January as Western sanctions tighten
• India and Turkey cut Russian oil purchases, diverting more barrels to China
• Urals crude discounts to China widen to $10-$12 per barrel below ICE Brent

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China is sharply increasing its imports of Russian oil in January, taking in barrels that would earlier have gone to India and Turkey, as tougher Western sanctions force Moscow to divert crude flows, according to LSEG data and traders cited by news agency Reuters.

The shift follows sweeping sanctions imposed by the United States and the European Union in late 2025 on Russian oil sellers and shippers, including energy majors Rosneft and Lukoil. The measures have made purchases more complex for global buyers and tightened scrutiny of Russian crude exports.

Preliminary LSEG data shows China is set to receive nearly 1.5 million barrels per day (bpd) of Russian oil by sea this month, up from around 1.1 million bpd in December. Alongside its steady appetite for Russian Far East ESPO Blend, Beijing has also ramped up imports of Russian Urals crude to a record 405,000 bpd in January — the highest level since mid-2023 — according to data from energy consultancy Kpler.

India, which had emerged as the largest buyer of Russian Urals by sea after the European Union embargoed Moscow’s oil in 2022, cut its purchases to below 1 million bpd in December. This marked a sharp fall from the average of about 1.3 million bpd seen last year, LSEG data showed. Indian refiners are expected to keep imports of Russian oil close to 1 million bpd in January as they diversify supply sources.

Turkey, another major buyer of Russian crude, has also pared back its intake. Urals imports into Turkey slipped to around 250,000 bpd in January, compared with an average of 275,000 bpd in 2025 and well below the peak of nearly 400,000 bpd recorded in June last year.

“As Indian and Turkish buyers cut purchases recently, some Russian Urals cargoes headed for China,” said a trader involved in Russian oil sales. He added that the surplus availability of Urals barrels has weighed on prices.

Reflecting weaker demand elsewhere, discounts for Urals crude delivered to China in late 2025 widened to as much as $12 a barrel below ICE Brent for certain cargoes. Currently, Urals differentials are hovering near a $10-per-barrel discount to the global benchmark, according to two traders active in the Asian market.

Traders noted that demand for Urals crude in India and Turkey — both key exporters of diesel to Europe — has softened after the EU banned fuels made from Russian-origin crude, further reshaping global oil trade flows.