According to Kpler data, India is set to import approximately 11.2 million barrels of US crude in June, the highest monthly volume since last August.
Indian refiners, including Indian Oil, Bharat Petroleum, and Reliance Industries Ltd. are increasing purchases as WTI crude prices drop due to weakened demand. This demand slump stems from maintenance work at Singapore's refinery and lower oil consumption in China.
Jun Goh, senior oil market analyst at Sparta Commodities, suggests WTI crude prices may need to drop further to attract broader Asian buyers. He notes that increased purchases could serve as leverage in trade negotiations with the United States to reduce reciprocal tariffs.
India's trade deficit widened beyond expectations in March, with oil imports rising over 60% month-on-month. The country's exporters are now pressing New Delhi officials to expedite a bilateral trade agreement with the US as soon as possible.