Indian state oil refiners stopped buying Russian oil last week as discounts shrank this month and US President Donald Trump warned against purchasing oil from Moscow, industry sources told Reuters.
India, the world's third-largest oil importer, is the largest buyer of Russian oil transported by sea.
Four refineries that regularly purchase Russian oil turned to spot markets to replace supplies — mainly Middle Eastern grades such as Murban oil from Abu Dhabi and West African oil, sources said.
Private refiners Reliance Industries and Nayara Energy are the largest buyers of Russian oil in India, but state refiners control more than 60% of all Indian oil refining capacities, amounting to 5.2 million barrels per day.
On July 14, Trump threatened 100% tariffs on countries buying Russian oil if Moscow did not reach a major peace agreement with Ukraine. The day before, Trump promised to penalize India for purchasing oil and weapons from Russia.