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Russian oil diverts its route to Asia

While Russia's exports to Europe decreased by 280 thousand barrels a day to 1.3 million barrels between March 1-22, its exports to Asia increased by 220 thousand barrels per day.

Russian oil diverts its route to Asia

According to the information compiled from Vortexa's data, the US and European buyers moved away from Russian oil due to the war initiated by Russia in Ukraine, and the direction of oil cargoes changed. Thus, Asian countries began to come to the fore at the delivery point of crude oil cargoes from Russia's Black Sea and Baltic Seas.

3.4 million barrels per day of Russian oil faces EU embargo
While Russia's exports to Europe decreased by 280 thousand barrels per day between March 1-22 to 1.3 million barrels, its exports to Asia increased by 220 thousand barrels per day. The share of Asian countries in Russia's cargoes departing from the Black Sea and Baltic Seas reached 25 percent, reaching its highest level since April 2020.

The largest buyers of Russian crude oil in Asia were China and India. Russia supplies 5 percent of Asia's current total oil imports.

The impact of economic sanctions deepens
Last month, 73 percent of Russia's oil exports (5.6 million barrels a day) went to places Moscow declared "unfriendly countries". It is estimated that exports to these countries will decrease by about 1.4 million barrels in March. Therefore, the main impact of the economic sanctions on Russia's oil exports is expected to be felt more clearly in the coming weeks.

The International Energy Agency (IEA) predicted that oil production in Russia could decrease by 3 million barrels a day in April due to the additional sanctions imposed by some countries and importing companies after the war.

According to IEA data, Russia is the third largest oil producer and the world's largest oil exporter after the USA and Saudi Arabia.

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