Russia is looking to start significant seaborne gasoline imports from India to tackle a growing fuel deficit caused by Ukrainian drone attacks on its refinery infrastructure, as per a report from the Ukraine-based Kyiv Post. The report mentions that Russia is considering extending a subsidy mechanism for companies importing gasoline from India, with the subsidy calculated based on Indian market prices and shipping costs.
According to the media house, the State Duma’s budget and tax committee have supported the proposed amendments to Russia’s Tax Code. This move comes as Russia’s refining capacity has significantly declined due to heightened attacks in 2026.
Following the invasion of Ukraine, India has emerged as the largest buyer of Russian crude, purchasing 1.5 to 2 million barrels, with a peak of 2.66 million barrels per day in June 2026. A portion of this crude is processed in Indian refineries and exported as petroleum products, including gasoline.
The strikes on refineries have led to a sharp drop in Russia’s crude processing, reducing gasoline output by around 25%. Operating refineries are currently producing 85,000 tonnes of gasoline per day, falling short of the summer demand of approximately 1.11 lakh tonnes by about 25,000 tonnes daily.
The fuel deficit now comprises roughly 20% of domestic consumption, causing wholesale gasoline prices to surpass 100 rubles. Due to shortages and soaring aviation fuel prices, Russian light aircraft operators have started using aviation fuel in place of automobile gasoline.
