New Delhi: India’s diesel exports to Europe more than doubled in August as buyers rushed to secure cheaper supplies ahead of the European Union’s ban on fuels refined from Russian crude, set to take effect in January 2026, market analysts said.
According to data from global analytics firm Kpler, India shipped around 242,000 barrels per day (bpd) of diesel to Europe in August, a figure more than twice that of the same month last year. On average, India’s diesel exports have jumped 124 Percent over the past 12 months, highlighting its growing role as a supplier to the continent.
Analysts attribute the surge not only to the upcoming EU sanctions but also to supply disruptions caused by an unexpected maintenance shutdown at Shell’s Pernis refinery in the Netherlands. The approaching winter season has further boosted European demand for diesel imports.
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The EU’s latest sanctions package prohibits imports of refined products made from Russian crude—even if they are processed abroad, such as in India. This measure is expected to impact refiners like Reliance Industries and Nayara Energy, which have been among the biggest suppliers of diesel to Europe.
In addition, the EU has tightened its oil price cap, lowering it from USD 60 to USD 47.6 per barrel, and introduced an automatic review mechanism to keep the cap consistently 15% below the six-month average market price of Urals crude. The aim is to add predictability for operators while maintaining downward pressure on Moscow’s energy revenues.
The EU has also expanded its scrutiny of Russia’s “shadow fleet,” adding more merchant vessels to its sanctions list, though three LNG tankers were delisted after commitments they would no longer carry Russian fuels.
Meanwhile, crude prices eased on Friday. Benchmark Brent crude slipped to USD 66.80 a barrel, while U.S. West Texas Intermediate (WTI) fell 0.36 percent to USD 63.25. Analysts said the drop followed expectations of increased output from the OPEC+ group and a rise in U.S. stockpiles.