Datanomics: Amid geopolitical uncertainty, a look at Russia's energy trade

US pushes India and EU to cut Russian energy imports, linking deals to compliance

Before assuming office as the President of the United States (US), Donald Trump had promised to put an end to the Russia-Ukraine war, which began in 2022. However, with no signs pointing towards an end to the conflict, the US administration has raked up the issue of Russia’s energy trade with its allies and major trade partners, including India, in an effort to choke the funding for Russia’s war economy.

 

Russia’s rise, despite the sanctions

 

The US has repeatedly asked India to curb its crude oil imports from Russia 

in order to secure a trade deal and reduction in tariffs. Russia’s share in India’s crude oil imports rose from 1 per cent in 2018-19 to 28.75 per cent in 2024-25. 

 

Meanwhile, Indian trade officials have asked the US to allow India to buy crude oil from Iran and Venezuela — two US-sanctioned suppliers. 

 

 

Decreasing dependence

 

Trump has asked the EU to ban Russian energy imports a year earlier than envisaged. Since Q1 2022, the dependence of the EU on Russian energy has come down drastically. In the last two years, the energy trade deficit has remained roughly constant.