India’s oil refiners said they expect to reduce — not stop — the purchase of Russian crude following remarks by U.S. President Donald Trump that the South Asian nation would halt all buying but are awaiting clarification on the situation from the government in New Delhi.
Trump told reporters in the White House that Indian Prime Minister Narendra Modi vowed to halt purchases, something that would put a significant squeeze on the Kremlin and its access to petrodollars if it materializes. India didn’t officially confirm or deny Trump’s remarks. A spokesperson for the country’s foreign affairs ministry said that, to the best of his knowledge, the last call between the two leaders happened on Oct. 9, whereas Trump said it was on Oct. 15.
But executives at four companies that account for more than 80% of India’s oil-processing capacity said their initial analysis was that they expected a decline, not the full stop described by Trump. With the exception of one, the officials asked not to be named as they’re not authorized to speak publicly and said they’d yet to be briefed by the government in New Delhi. All said they were caught off guard by the remarks, as did officials at three other firms who offered no view on whether buying would be curtailed.
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