India Cuts U.S. and Russian Oil Imports in September 2026, Pivoting to UAE Amid New Sanctions

Official data shows that India slashed its oil imports from the United States to zero and significantly reduced Russian oil imports in September 2026, shifting its supply focus toward the UAE as geopolitical tariffs and new U.S. legislation reshaped the market.

According to official trade figures, India imported 209.4 lakh tonnes of crude oil in September 2026, marking a 9.5% increase from August and a 4.1% rise compared to September of the previous year. Despite the volume growth, elevated crude oil prices drove India's import bill to nearly $14.3 billion—representing a 16.4% increase over August and a 33% surge compared to September 2025.

Shifts in Major Supplier Shares

• United States: Imports dropped entirely to zero in September 2026, down from an average of over 5% in the preceding 12 months.
• Russia: Imports fell to 33% of India's total in September, down from 44% in August and a peak of 51% in July 2026.
• United Arab Emirates: The UAE filled the supply gap, with its share surging to a record 26.5% of India's total imports after growing 67% month-on-month.

Impact of U.S. Legislation

The market shifts followed legislative actions in the United States. On September 16, 2026, the U.S. House of Representatives passed the Lindsey O. Graham Sanctioning Russia and Iran Act of 2026, which was signed into law by President Donald Trump on September 18. The legislation empowered authorities to levy tariffs of up to 100% on major importers of Russian energy. However, on October 16, President Trump signed an executive order temporarily waiving these tariffs in the national interest, leaving the measures in abeyance while Indian government data for October remains pending release.