- Together, China and India have emerged as the “most enthusiastic buyers of discounted Russian oil,’ and now Russian coal, gas, and fuel oil.
- Energy giants including China and India have capitalized on the sudden surplus of Russian fossil fuels, snapping up bumper crude oil purchases.
- Despite its membership in the EU, Bulgaria has an exemption from the ban on Russian oil, allowing the nation to continue to import it by sea.
All of Europe’s efforts to slap sanctions on Russian oil and gas may have been in vain. While the European Union has shown considerable success in weaning itself off of its heavy Russian gas dependence, Asian countries have not followed the same path.
Asia making Russian energy profitable
The result has been a windfall of cheap energy for China and India and an extreme softening of the intended blow to Moscow.
Despite the West’s best efforts to push a coordinated attack on the Russian energy economy in condemnation of the Kremlin’s ongoing war in Ukraine, some of the biggest economies in the world haven’t cooperated.
In fact, energy giants including China and India have capitalized on the sudden surplus of Russian fossil fuels, snapping up bumper crude oil purchases to the extent that, just last month.
Markets Insider reported that “China and India are buying so much Russian oil that Moscow’s now selling more crude than it was before invading Ukraine.”
High Asian fuel exports
And since that report, Asia’s purchases of Russian energy supplies have only increased. Thanks to a crippling heat wave, grids across Asia are under extreme strain, and demand has sharply risen for coal, gas, and fuel oil.
According to figures from data intelligence firm Kpler, coal exports to Asia have jumped by a third as compared to last year, fuel oil exports just had their two highest months on record, and shipments of LNG have experienced a relatively large uptick as well.
Most enthusiastic buyers of discounted Russian oil
As of now, Russian oil represents nearly 20% of India’s annual crude imports, compared to just 2% in 2021, according to figures from the Indian state-controlled Bank of Baroda.
Together, China and India have emerged as the “most enthusiastic buyers of discounted Russian oil,’ and now Russian coal, gas, and fuel oil, but other Asian nations have also been cashing in on the windfall, most notably South Korea, Vietnam, Malaysia, and Sri Lanka.
Turkey and Bulgaria, too, have significantly increased their imports from Russia. Despite its membership in the EU, Bulgaria has an exemption from the ban on Russian oil, allowing the nation to continue to import it by sea.
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Source: Business Insider
