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Russia buys gasoline from India to tackle shortages, sources say

Russia is preparing to import gasoline from India to address a growing domestic fuel shortage, Reuters reported, citing sources familiar with the plan. The move comes as Ukrainian drone strikes have reduced Russia’s gasoline output by about a quarter. Russian authorities are reportedly considering tax changes that would subsidize gasoline imports to help stabilize supply and prices.

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Will Ashley

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Russia buys gasoline from India to tackle shortages, sources say

Russia is looking to bring in gasoline from India to ease worsening shortages at home, according to reports citing sources familiar with the matter. The plan follows damage to Russian oil refining capacity from repeated Ukrainian drone strikes, which analysts say has sharply cut production and contributed to a supply gap.

In response, Russia is considering policy steps—reported to include tax-related amendments—that would make it cheaper for companies to import gasoline. The subsidy would help cover part of the gap between the cost of purchasing fuel abroad and the effective price companies can charge domestically.

Officials and analysts have linked the developing situation to the broader disruption of Russian refinery operations, leaving Moscow short of summer gasoline demand and contributing to higher wholesale fuel prices. India, already an important partner in Russia’s energy supply chains, is described as a likely source because of its ability to export refined petroleum products, including gasoline.

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