As Trump Targets India's Russian Oil Buys, OPEC+ Raises Output To Ease Markets

News18

2 days ago

Last Updated:
The decision comes as global markets respond to rising political pressure from the US, particularly targeting India's continued purchase of Russian oil
Eight key OPEC+ members, including Saudi Arabia and Russia, on Sunday announced a fresh oil production hike of 547,000 barrels per day, starting in September.
The decision comes as global markets respond to rising political pressure from the United States, particularly targeting India's continued purchase of Russian oil.
The increase, confirmed in a statement, is the latest move by the so-called 'Voluntary Eight" (V8) — Saudi Arabia, Russia, Iraq, UAE, Kuwait, Kazakhstan, Algeria, and Oman — who are working to reclaim market share in the face of resilient crude prices.
'The eight participating countries will implement a production adjustment of 547,000 barrels per day in September 2025 from August 2025 required production level," their joint statement said.
This marks another shift in OPEC+ policy after years of enforcing strict output cuts to support prices. Since April, the V8 has steadily increased production, moving away from price control in favour of defending market share, especially as non-OPEC supplies — including discounted Russian crude — flow into key markets.
The timing of the announcement is significant, as US President Donald Trump has threatened new sanctions and tariffs on countries that continue to purchase Russian oil.
'We're gonna put on tariffs and stuff," Trump had said, hinting at a potential 100 percent surcharge on Russian oil buyers, including India, which has been importing around 1.6 million barrels per day this year.
Analysts suggest Trump's threats are adding uncertainty to global energy markets, which are already facing supply concerns due to geopolitical instability.
While OPEC+ has signalled a willingness to increase output, experts say the group is unlikely to make further changes unless there are actual supply disruptions. 'OPEC+ will react only to real supply disruptions," said oil market analyst Giovanni Staunovo, 'not to price increases linked to risk premiums."
(With inputs from AFP)
view comments
First Published:
August 03, 2025, 18:08 IST
Disclaimer: Comments reflect users' views, not News18's. Please keep discussions respectful and constructive. Abusive, defamatory, or illegal comments will be removed. News18 may disable any comment at its discretion. By posting, you agree to our Terms of Use and Privacy Policy.