Which countries are biggest buyers of Russian oil, and why is India still in stronger position despite 50% US tariffs?

Currently, China buys around USD 219.5 billion worth of energy (including oil, gas, and coal) from Russia, while India imports about USD 133.4 billion, and Turkey around USD 90.3 billion.

U.S. President Donald Trump has announced an additional 25 per cent tariff on goods imported from India, starting August 27. This is in addition to the existing 25 per cent tariff and is a response to India continuing to buy oil from Russia. The move has sparked global debate over trade policies, especially among countries that still import large amounts of energy from Russia.

Asia becomes Russia’s main oil buyer after EU pullback

There was a time when the European Union (EU) was the biggest buyer of Russian oil. But after the EU placed sanctions on Russia, Asian countries like China, India, and Turkey stepped in and now lead in buying Russian energy. Asia has now become Russia’s largest oil market.

At present:

• China imports about USD 219.5 billion worth of energy (oil, gas, and coal) from Russia.
• India buys energy products worth around USD 133.4 billion.
• Turkey imports nearly USD 90.3 billion in energy from Russia.

Some European countries, like Hungary, still buy small amounts of Russian oil through pipelines, but most have reduced their purchases due to sanctions.

Russia’s oil revenue still strong despite sanctions

Even with sanctions from the U.S. and Europe, Russia continues to earn big from its oil exports. According to the Kyiv School of Economics, Russia made around USD 12.6 billion just from oil sales in June. For the entire year of 2025, it is expected to earn up to USD 153 billion from oil exports.

Why is India in a better position?

Even though President Trump has imposed a 25 per cent tariff on Indian goods, India is still in a better position compared to China. Under Trump’s new trade policy, Chinese imports are facing a much higher 30 per cent tariff, while imports from Vietnam are being taxed at only 20 per cent. This means Indian and Vietnamese products will continue to compete in the U.S. market, but India still has an edge over China.

Recently, Fitch Ratings updated its “Effective Tariff Rate (ETR) Monitor,” a tool that tracks how tariffs affect trade.

According to the latest update:

• The average effective tariff rate in the U.S. has risen to 17 per cent, up from 15 per cent last year.
• Among all major U.S. trading partners, China’s ETR is now the highest at 41.4 per cent, a big jump from its earlier rate of 10.7 per cent.
• India’s ETR stands at just over 21 per cent, which shows that India is still in a relatively better spot compared to China.

The Effective Tariff Rate (ETR) helps measure the real impact of tariffs on a country’s trade and economic strategies.

Liao Yu, a lecturer at Renmin University in China, says that during his second term, Trump has become more aggressive with his “Make America Great Again” agenda. According to Liao, many supporters of this policy believe free trade has hurt the U.S., and they mainly blame China for it.

In the future, China might face even tougher tariff battles. However, since Trump’s “America First” approach is also weakening old U.S. alliances, it could open up some new strategic opportunities for China.