Indonesia's Covert Russian Oil Imports Amid Global Pressure

Indonesia has discreetly imported two cargoes of Russian oil in December and January, indicating a potential shift in market dynamics as international pressure mounts against Russian crude trades. The ship tracking data, revealed by Kpler and Vortexa, highlights a strategic move as demand from India dwindles, leading to lower prices for Russian oil, which is crucial for funding in Ukraine.

Amidst this backdrop, U.S. President Donald Trump announced an agreement with India to cease Russian oil imports; however, the Kremlin has denied any such commitment from India. Indonesia’s reliance on Middle Eastern and African crude reflects its stance of not aligning with Western sanctions against Russia.

The recent imports involved shipments discharged at Balikpapan and Cilacap ports under ship-to-ship transfers. While state oil firm Pertamina confirmed one discharge but denied it involved Sakhalin oil, the ever-present murkiness in sanction-evasive oil trading casts doubts on the transaction transparency.