Reuters: oil markets consider Trump's threat of Russian fuel tariffs as bluff

Oil prices edged higher Monday following President Trump's threat to impose 25% tariffs on buyers of Russian crude. However, the gains remained modest as traders weighed the likelihood of actual imposition, Reuters reported.

China and India remain the top buyers of Russian oil. However, in 2022, India surpassed China to become the largest maritime importer of Russian crude. By 2024, shipments from Russia accounted for approximately 35% of India's total oil imports.

The Indian government confirmed its refineries will continue purchasing Russian crude that falls outside Western sanctions. This policy is now limiting available shipments for other buyers.

Chinese oil companies are scaling back Russian imports. Sinopec and Zhenhua Oil have halted purchases entirely, while other state refiners are reducing volumes following tightened US sanctions.

However, some Chinese firms remain unfazed by Trump’s latest tariff threat, dismissing it as another empty campaign promise.