Which nations purchase Russian oil – and what affect will sanctions have?

[ad_1] Your help helps us to inform the story From reproductive rights to local weather change to Large Tech, The Impartial is on the bottom when the story is creating. Whether or not it is investigating the financials of Elon Musk's pro-Trump PAC or producing our newest documentary, 'The A Phrase', which shines a lightweight on the American girls combating for reproductive rights, we all know how vital it's to parse out the details from the messaging.

At such a vital second in US historical past, we'd like reporters on the bottom. Your donation permits us to maintain sending journalists to talk to either side of the story.

The Impartial is trusted by Individuals throughout your complete political spectrum. And in contrast to many different high quality information retailers, we select to not lock Individuals out of our reporting and evaluation with paywalls. We imagine high quality journalism must be obtainable to everybody, paid for by those that can afford it.

Your help makes all of the distinction. Learn extra The US has this week imposed new sanctions on Rosneft and Lukoil, Russia’s two largest petroleum-producing corporations.

After efforts to barter an finish to Vladimir Putin’s warfare on Ukraine appeared to return to a standstill, the Trump administration made the transfer in a bid to “enhance strain on Russia’s power sector” and “degrade the Kremlin’s potential to lift income for its warfare machine and help its weakened financial system”.

So how a lot affect may the transfer have, and what are the implications for nations who depend on Russia to provide their oil?

<img src="https://static.independent.co.uk/2025/10/23/8/10/GettyImages-1239423619.jpeg" srcset="https://static.independent.co.uk/2025/10/23/8/10/GettyImages-1239423619.jpeg?quality=75&width=320&auto=webp 320w, https://static.independent.co.uk/2025/10/23/8/10/GettyImages-1239423619.jpeg?quality=75&width=640&auto=webp 640w" loading="lazy" alt="Protesters hold a vigil in Brussels in March 2022 against the purchase of Russian oil. Campaigners have been calling on EU leaders to impose a full ban on Russian fuels since the start of the war" class="sc-1mc30lb-0 ggpMaE inline-gallery-btn"/> open picture in gallery

Protesters maintain a vigil in Brussels in March 2022 towards the acquisition of Russian oil. Campaigners have been calling on EU leaders to impose a full ban on Russian fuels for the reason that begin of the warfare (AFP through Getty) Who buys oil from Russia?

China, India and Turkey are the most important recipients of Russian oil that used to go to the European Union. The EU’s resolution to boycott most Russian seaborne oil from January 2023 led to an enormous shift in crude flows from Europe to Asia.

Since then, China has been the No 1 general client of Russian power, having bought some $219.5bn (£164bn) value of Russian oil, gasoline and coal, adopted by India ($133.4bn/£100bn) and Turkey ($90.3bn/£67.7bn).

As much as 20 per cent of China’s crude oil imports come from Russia, Bloomberg stories, with knowledge analytics agency Kpler suggesting {that a} quarter of that comes from Rosneft and Lukoil.

Final 12 months, China reportedly purchased 100 million tonnes of Russia crude, and final month alone it imported round 2 million barrels per day.

<img src="https://static.independent.co.uk/2025/10/22/7/15/GettyImages-2230342714.jpeg" srcset="https://static.independent.co.uk/2025/10/22/7/15/GettyImages-2230342714.jpeg?quality=75&width=320&auto=webp 320w, https://static.independent.co.uk/2025/10/22/7/15/GettyImages-2230342714.jpeg?quality=75&width=640&auto=webp 640w" loading="lazy" alt="Donald Trump has imposed sanctions on Russian oil amid frustration with Vladimir Putin" class="sc-1mc30lb-0 ggpMaE inline-gallery-btn"/> open picture in gallery

Donald Trump has imposed sanctions on Russian oil amid frustration with Vladimir Putin (Getty) India is one other nation that makes important purchases of Russian oil, having imported comparatively little earlier than the invasion of Ukraine. Now it imports round 1.6 million barrels a day.

Turkey can be a comparatively massive buyer, whereas different purchasers embrace the EU, Myanmar and Azerbaijan, nevertheless it’s the offers with India and China which have essentially the most outsized monetary affect.

Evaluation undertaken by the Centre for Analysis on Vitality and Clear Air (CREA) confirmed the EU buying bigger volumes of LNG and pipeline gasoline, whereas Turkey purchased extra oil merchandise.

CREA evaluation discovered that China and India had purchased 85 per cent of all Russian crude oil exports in September.

Will the UK be affected?

The import, acquisition, and provide of Russian oil and oil merchandise was banned by the UK in December 2022. Nonetheless, the Treasury committee heard from consultants in 2024 that Russian oil remains to be ending up within the UK regardless of sanctions, because of a loophole.

So long as Russian oil is refined abroad, resembling India, it might keep away from the ban.

Richard Bronze, head of geopolitics at Vitality Points, instructed MPs that he estimated refined Russian oil to account for “properly beneath 5 per cent” of the UK’s oil imports.

The UK joined the US in sanctioning Rosneft and Lukoil earlier this week.

What monetary affect will the sanctions have?

As for a way a lot of a success Russia will take on account of the brand new measures, the monetary pinch might not be rapid.

The sanctions state that commerce relations with the 2 Russian corporations have to be exited or closed by 21 November, giving India and China time to make various preparations – and naturally there’s the prospect that Russia will re-engage with talks throughout that point, in a bid to have the sanctions lifted.

Nonetheless, CREA evaluation showedthat Russia’s whole income from fossil fuels in September was €546m (£474m) per day. The report additionally states that, if the $47.60 per barrel worth cap had been totally enforced, that income would have been €1.53bn (£1.15bn) decrease in September 2025 alone.

Essentially the most rapid affect has been a change within the worth of oil. Markets usually don't like uncertainty, and the sanctions themselves have been sudden, so a fast upturn isn't uncommon in such circumstances.

<img src="https://static.independent.co.uk/2025/08/05/09/Russia_Oil_Buyers_90540.jpg" srcset="https://static.independent.co.uk/2025/08/05/09/Russia_Oil_Buyers_90540.jpg?quality=75&width=320&auto=webp 320w, https://static.independent.co.uk/2025/08/05/09/Russia_Oil_Buyers_90540.jpg?quality=75&width=640&auto=webp 640w" loading="lazy" alt="A facility belonging to the Russian state-controlled oil giant OAO Rosneft, at Priobskoye oil field near Nefteyugansk, western Siberia. The state-owned company is one of two sanctioned by Trump" class="sc-1mc30lb-0 ggpMaE inline-gallery-btn"/> open picture in gallery

A facility belonging to the Russian state-controlled oil big OAO Rosneft, at Priobskoye oil area close to Nefteyugansk, western Siberia. The state-owned firm is certainly one of two sanctioned by Trump (AP) “Oil markets have spiked greater after information emerged that the US was placing Russia’s main oil producers below sanctions as a result of Kremlin’s failure to maneuver towards peace in Ukraine,” mentioned Steve Clayton, head of fairness funds at Hargreaves Lansdown.

“Brent crude has climbed 4 per cent to virtually $65 per barrel on the information, marking a dramatic restoration from latest weak spot in crude markets. America’s new stance is in stark distinction to latest messaging from the White Home and took markets unexpectedly.

“The effectiveness of the sanctions is but to be confirmed, however President Trump has mentioned that the Indian PM Narendra Modi has assured him that India will stop Russian oil purchases.”

For some context, Brent crude rose to round $77 earlier in the summertime, when there have been fears that Iran may fully shut the Strait of Hormuz.

How massive are Rosneft and Lukoil?

The 2 organisations collectively signify about $105bn (£80bn) mixed in market capitalisation – an accepted measure of the “value” of an organization – which is sort of equally cut up, with Rosneft’s share being barely bigger. For comparability, London-listed power agency BP is value round £66bn.

Russia exports about 4 million barrels of oil a day, and Rosneft and Lukoil account for round half of that determine. Rosneft alone is liable for roughly 6 per cent of worldwide oil manufacturing.