MOSCOW, (AFP) – Russia has redirected its oil exports from Europe to China and India, Deputy Prime Minister Alexander Novak said yesterday, almost two years after Moscow was hit by Western sanctions over the Ukraine conflict.
“We previously supplied a total of 40 to 45 per cent of oil and oil products to Europe,” said Novak, who is in charge of energy policy.
“This year, we expect the figure not to exceed four to five percent of total exports,” Novak said in a televised interview.
As it was losing much of its market share in Europe, Moscow pivoted to other buyers including China.
“China – whose share (of oil exports) has grown to 45-50 per cent – and India have become our main partners in the current situation,” Novak said.
India, which previously received almost no shipment, has become a major buyer.
“In two years the total share of supplies to India has increased to about 40 per cent,” Novak said.
Russia has also had to find new markets for its natural gas exports as Moscow cut its exports to EU nations, which have also looked for new suppliers. Novak said the Russian energy industry had successfully developed despite multiplying sanctions in 2023.
Novak said he expected Russian oil and gas revenues will amount to almost RUB9trillion (USD98 billion) this year.
The oil and gas industry accounts for 27 per cent of Russia’s gross domestic product, according to Novak, bringing in 57 per cent of Russia’s export revenues.
Novak said Russia was open to other buyers. “There are a lot of people who want to buy Russian oil. These are Latin American countries, African countries, and other countries of the Asia-Pacific region.”
