Latest news with #EMZenith
The Print
3 days ago
- Business
- The Print
Indian firm ships diesel to China & Beijing removes urea export curbs, as political thaw continues
According to reports, the EM Zenith, an oil tanker carrying diesel from Nayara's Vadinar refinery in Gujarat left for South East Asia on 18 July. However, the Vadinar refinery was specifically targeted in the 18th package of sanctions by the European Union (EU), as it is partly owned by Rosneft, the Russian oil and gas company. Nayara is also partly owned by Rosneft. The shipment of diesel to China was reported by Bloomberg, hours after media organisations reported Beijing's move to relax curbs on the export of urea to India. The moves by China come as Trump continues to redraw the global trading regime. New Delhi: In a rare move, Nayara Energy has shipped diesel to China—a first since 2021, as ties continue to thaw between New Delhi and Beijing. The move comes amidst a churn in ties between India and the US over President Donald Trump's tariffs, and a couple of weeks ahead of Prime Minister Narendra Modi's expected visit to China. The latest EU sanctions were announced hours after the cargo ship left the port. The ship was intended to travel to Malaysia, reported Bloomberg. According to MarineTraffic, a maritime analytics provider, the ship is now headed towards the Chinese port of Zhoushan and is expected to arrive on 20 August. According to Bloomberg, Beijing has also relaxed the curbs on the export of urea to India. India is one of the largest importers of the crop nutrient, used by millions of farmers across the country. In the financial year 2023-2024, India imported roughly $774 million worth of urea (HS Code: 3102.10) from China. However, in June 2024, Beijing announced export curbs to urea, due to its own domestic requirement, according to reports. In that year, China was the top exporter of the crop nutrient to India. In the last financial year (2024-2025), India's urea imports from China fell to $42.8 million following Beijing's export curbs. In June this year, China lifted export restrictions on urea, but maintained the limitations for exports to India. However, according to Bloomberg, that has now been lifted. These moves come ahead of Modi's visit to the Chinese city of Tianjin for the Heads of States' summit of the Shanghai Cooperation Organisation (SCO). The summit is scheduled to be held on 31 August and 1 September. It will be Modi's first visit to the East Asian nation since 2018, when China last hosted the SCO summit in the city of Qingdao. The growing thaw between India and China comes after years of diplomatic chill. In the summer months of 2020, the two militaries clashed at Galwan in Eastern Ladakh. The political relationship cratered following the clashes. For over four years, ties between the two countries were on pause, until an agreement was reached over disengagement at the friction points of the Line of Actual Control (LAC) last October. The agreement set the stage for a bilateral meeting between Modi and Chinese President Xi Jinping in the Russian city of Kazan on the margins of the BRICS leaders' summit on 23 October 2024. The political thaw between New Delhi and Beijing comes as US President Trump takes aim at India in particular. The American President most recently last week imposed an additional tariff of 25 percent on imports from India, increasing the total levies on Indian imports to 50 percent. Trump has taken aim at India's continued purchase of Russian oil as a reason to impose the additional tariffs. Since Trump's first term, the American President has also taken aim at China's exports to the US, with the two countries locked in a trade war since 2018. India and China have instituted a number of confidence building measures since December 2024, including Beijing resuming the Kailash Mansarovar yatra in this summer. On 24 July, India resumed issuing tourist visas to Chinese nationals, and the two governments are expected to announce the resumption of direct air services soon. Most recently, Chinese Vice Minister of Foreign Affairs Sun Weidong travelled to India for consultations with Foreign Secretary Vikram Misri. In the last two months, India's National Security Adviser (NSA) Ajit Doval, Defence Minister Rajnath Singh and External Affairs Minister S. Jaishankar have all travelled to China for meetings on different mechanisms of the SCO. (Edited by Viny Mishra) Also read: Chinese chatter says Trump tariffs will make India turn to China and Russia
Time of India
4 days ago
- Business
- Time of India
First time since 2021! Faced with EU sanctions on Russia oil, India's Nayara Energy ships diesel cargo to China
A shipment of Indian diesel is en route to China, marking the first such delivery since 2021. (AI image) Russia-backed Nayara Energy, an Indian refinery, faced with European Union sanctions for its procurement of crude from Russia is looking at damage control. Nayara Energy is sending a shipment to China, a first for India since 2021. According to a Bloomberg report, a shipment of Indian diesel is en route to China, marking the first such delivery since 2021. This development comes as Nayara Energy, which has Russian connections, faces uncertainty in its oil product exports due to new European Union sanctions. The vessel EM Zenith departed from Nayara's Vadinar terminal carrying approximately 496,000 barrels of ultra-low sulfur diesel on July 18, as reported by Kpler, a port agent document and vessel tracking information gathered by Bloomberg. Also Read | Fresh trouble for Russia-backed Nayara Energy! SBI stops trade & foreign currency transactions of Indian refinery; doesn't want to risk US tariffs, EU curbs The ship left just before the EU announced sanctions on the Rosneft-supported refinery, as part of its intensified measures against Russian oil commerce. The ship, originally heading to Malaysia, changed course in the Strait of Malacca and remained anchored for approximately 12 days whilst several Nayara cargoes were affected by EU sanctions. The vessel has since changed its destination to Zhoushan, China, the Bloomberg report said. Nayara Energy in troubled waters Recent sanctions have created payment difficulties for Nayara, prompting the company to request advance payments or letters of credit before loading fuel shipments. Additionally, the company had to reduce production at its Vadinar refinery due to disruptions in crude oil deliveries. According to Kpler data, this diesel cargo to China marks the first such shipment from India since April 2021, coinciding with improved diplomatic relations between the two Asian countries. Meanwhile, State Bank of India, India's largest public sector bank, has discontinued processing international trade and forex transactions for Nayara Energy following recent US tariff increases. According to a source who spoke to ET, this decision was taken to prevent potential US and European Union sanctions. The US administration has implemented a 25% additional tariff on India regarding its Russian crude oil trade. Also Read | 'China issue more complicated…': After tariff on India, will Donald Trump impose additional duties on China for Russia oil trade? What JD Vance said Since July, Nayara Energy has encountered difficulties after the European Union implemented its 18th sanctions package, restricting fuel imports from Russia and setting a $47.6 per barrel limit on Russian crude prices. "These European sanctions imposed on July 18 were the last straw. All banks with international branches and operations have to adhere to the government laws to ensure that they do not attract regulatory scrutiny," said the person cited above. "The last European sanctions along with the US tariffs imposed after that have made the processing of transactions for Nayara difficult." "This call has been taken by the bank very recently after the US sanctions to ensure compliance with international rules," the source told ET. "There has been no government direction, but every bank has to take a call on how to deal with these issues and SBI has done so." Stay informed with the latest business news, updates on bank holidays , public holidays , current gold rate and silver price .
Time of India
4 days ago
- Business
- Time of India
India sends rare diesel cargo to China as Nayara faces sanctions
A cargo of Indian diesel is heading to China , in what would be first such shipment since 2021, with oil product exports from Russia-linked Nayara Energy in a state of limbo following the latest round of European Union sanctions. The EM Zenith sailed from the Nayara 's Vadinar terminal with about 496,000 barrels of ultra-low sulfur diesel on July 18, according to Kpler, a port agent report and ship tracking data compiled by Bloomberg. The departure came just hours before the EU announced restrictions on the Rosneft-backed refinery as a part of a renewed crackdown on Russia's oil trade. The vessel was initially bound for Malaysia but made a U-turn in the Strait of Malacca and was anchored for about 12 days as multiple Nayara cargoes were stranded after the EU sanctions. The tanker has now updated its destination to Zhoushan, China. A Nayara spokesperson didn't immediately reply to a message seeking comment. The sanctions have also complicated payments for Nayara in recent weeks, with the company seeking upfront renumeration or letters of credit for fuel shipments prior to loading, and to cut production at its Vadinar refinery with crude shipments choked off. The diesel shipment to China is the first from India since April 2021, according to Kpler data. It follows a thawing of bilateral tensions between the Asian neighbours.
Time of India
4 days ago
- Business
- Time of India
India sends rare diesel cargo to China as Nayara faces sanctions
A cargo of Indian diesel is heading to China , in what would be first such shipment since 2021, with oil product exports from Russia-linked Nayara Energy in a state of limbo following the latest round of European Union sanctions. The EM Zenith sailed from the Nayara's Vadinar terminal with about 496,000 barrels of ultra-low sulfur diesel on July 18, according to Kpler, a port agent report and ship tracking data compiled by Bloomberg. The departure came just hours before the EU announced restrictions on the Rosneft-backed refinery as a part of a renewed crackdown on Russia's oil trade. Finance Value and Valuation Masterclass - Batch 4 By CA Himanshu Jain View Program Artificial Intelligence AI For Business Professionals Batch 2 By Ansh Mehra View Program Finance Value and Valuation Masterclass - Batch 3 By CA Himanshu Jain View Program Artificial Intelligence AI For Business Professionals By Vaibhav Sisinity View Program Finance Value and Valuation Masterclass - Batch 2 By CA Himanshu Jain View Program Finance Value and Valuation Masterclass Batch-1 By CA Himanshu Jain View Program The vessel was initially bound for Malaysia but made a U-turn in the Strait of Malacca and was anchored for about 12 days as multiple Nayara cargoes were stranded after the EU sanctions. The tanker has now updated its destination to Zhoushan, China. A Nayara spokesperson didn't immediately reply to a message seeking comment. The sanctions have also complicated payments for Nayara in recent weeks, with the company seeking upfront renumeration or letters of credit for fuel shipments prior to loading, and to cut production at its Vadinar refinery with crude shipments choked off. Live Events The diesel shipment to China is the first from India since April 2021, according to Kpler data. It follows a thawing of bilateral tensions between the Asian neighbours.
