China-bound Russian oil tanker makes U-turn; headed toward India
What's the story
A Russian oil tanker, the Aqua Titan, has changed its course from China to India. The Aframax vessel was earlier headed to Rizhao port in China but made a U-turn in Southeast Asian waters after the US allowed India to temporarily increase Russian oil purchases, Bloomberg reported. The ship is now on its way to New Mangalore and is expected to arrive on March 21 with its Urals cargo loaded from a Baltic Sea port.
Trade shift
Tanker diverts after US allows India to import Russian oil
The Aqua Titan's diversion comes after India ramped up its energy imports from Russia. This was possible after the United States allowed India to keep buying crude oil and petroleum products from Russia for a month, until April 4. In the week following this concession, Indian refiners purchased a whopping 30 million barrels of Russian oil to compensate for lost Middle Eastern supplies due to tensions in Iran.
Market shift
At least 7 tankers have switched destinations
The Aqua Titan isn't the only tanker to have diverted its course. At least seven tankers carrying Russian oil have switched their destinations mid-voyage from China to India, according to Vortexa Ltd. In related development, the Suezmax Zouzou N. has also signaled India's Sikka as its next destination. The tanker is carrying Kazakh CPC Blend crude and had sailed from Novorossiysk on Russia's Black Sea to Rizhao waters before changing course for India in early March.