Indian refiners have increased their U.S. crude oil imports this month as attractive prices tempted them, news agency Reuters reported quoting its trade sources. The action should assist India in cutting its trade deficit with the United States amid elevated tensions between the nations, the report added.
The country's largest refiner, Indian Oil Corporation (IOC), has received 5 million barrels of U.S. West Texas Intermediate (WTI) crude under a tender for October and November delivery, industry sources said.
This comes after Bharat Petroleum Corporation Ltd (BPCL) bought 2 million barrels of WTI, and private major Reliance Industries bought another 2 million barrels from Vitol.
Asian refiners, including Indian ones, have boosted their uptake after the arbitrage window for U.S. crude into Asia increased. New Delhi is also coming under pressure to increase U.S. oil imports after Washington doubled Indian goods tariffs to 50% as a response to India's continued imports of Russian crude.
European players also came into the act, with Gunvor and Equinor each selling 2 million barrels and Mercuria selling 1 million barrels to IOC, sources added.
In a related development, BPCL has further diversified its crude basket by procuring Nigerian Utapate oil for the first time, marking an entry into new grades.
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