Amid the growing crisis around the Strait of Hormuz, a major decision by Donald Trump has intensified volatility in the global oil market, raising fears of another spike in petrol, diesel, and fuel prices in the coming days. The surge in crude oil prices has also increased concerns over rising inflation across India and other countries.
The Trump administration has refused to extend the temporary waiver granted for the purchase of Russian crude oil, officially ending the exemption. The move is being viewed as a major setback for India, which had significantly increased oil imports from Russia amid the West Asia crisis and tensions in the Strait of Hormuz.
Pressure Mounts
Russia remains one of the world’s largest crude oil exporters. Following the US decision, concerns have grown over disruptions in global oil supply, potentially leading to a sharp rise in petrol, diesel, and other fuel prices worldwide.
Experts warn that if crude oil prices remain elevated for a prolonged period, the impact will directly affect consumers and push inflation higher.
The United States and several European nations had imposed strict sanctions on Russian oil following the Russia-Ukraine War. However, after the Iran conflict began in March 2026 and tensions escalated due to the Hormuz blockade, the global oil crisis deepened.
To address supply shortages, the Trump administration introduced a special waiver in March 2026, which was later extended until May 16. The exemption applied only to oil cargoes that had already been loaded onto tankers.
Reports suggest that several European countries had consistently opposed the waiver, arguing that revenue from Russian oil sales was strengthening Russia’s war funding. Following this pressure, the Trump administration decided on Saturday to end the exemption.
India Increased Russian Oil Imports
According to reports, India sharply increased imports of Russian crude after tensions escalated in West Asia and the Strait of Hormuz in March 2026.
In March 2026, India imported nearly 4.5 million barrels of crude oil per day, with around 50 per cent coming from Russia. During the same period, supplies from the Middle East reportedly declined by nearly 61 per cent.
Russia continued to remain India’s largest crude oil supplier in April 2026 as well. India’s Russian oil imports stood at around 1.57 million barrels per day in April, though this was nearly 20 per cent lower than March levels.
Fuel Prices May Rise Again
Just days ago, petrol and diesel prices in India were increased by up to Rs 3 per litre, while CNG prices were also revised upward.
Experts now warn that if international crude oil prices continue to remain high, fuel prices in India could see another increase in the near future.
