“ Russian oil traders began to demand from Indian state -owned companies to pay for deliveries in Chinese yuan. Source: Reuters Details: They consider such a step to simplify transactions against the background of warming in relationships between India and China. Advertising: According to the interlocutors, Indian Oil Corporation (IOC)-the largest state oil refinery of India-recently paid two or three parties of Russian oil in Yuan. After the introduction of Western sanctions against Moscow in 2022, as a result of invasion of Ukraine, oil trade began to use alternative currencies in oil trade – including Chinese Yuan and the UAE Dirham instead of the dollar. In 2023, Indian state -owned companies were already partially calculated in Yuan, but stopped because of the negative reaction of the government against the background of tense relations with Beijing. Private companies have continued to use Chinese currency. Advertising: Now traders want to remove the extra link in the calculations – they were previously forced to convert dollars or dirhas in Yuan, and then into Russian rubles, which increased costs. Sources note that suppliers set prices in dollars to comply with EU restrictions on the marginal value of Russian oil, but require equivalent payment in Yuan. India became the largest buyer of Russian sea oil after Western countries stopped its imports through sanctions. The use of yuan, according to analysts, will expand the access of Indian state companies to Russian oil, as not all traders agree to pay in other currencies.”, – WRITE: www.pravda.com.ua
Source: Reuters
Details: They consider such a step to simplify the transaction against the background of warming in the relationship between India and China.
Advertising:
According to the interlocutors, Indian Oil Corporation (IOC)-the largest state refinery company in India-recently paid two or three parties of Russian oil in Yuan.
After the introduction of Western sanctions against Moscow in 2022, as a result of invasion of Ukraine, oil trade began to use alternative currencies in oil trade – including Chinese Yuan and the UAE Dirham instead of the dollar.
In 2023, Indian state -owned companies were already partially calculated in Yuan, but stopped because of the negative reaction of the government against the background of tense relations with Beijing. Private companies have continued to use Chinese currency.
Now traders want to remove the extra link in the calculations – they were previously forced to convert dollars or dirhas in Yuan, and then into Russian rubles, which increased costs.
Sources note that suppliers set prices in dollars to comply with EU restrictions on the marginal value of Russian oil, but require equivalent payment in Yuan.
India became the largest buyer of Russian sea oil after Western countries stopped its imports through sanctions. The use of yuan, according to analysts, will expand the access of Indian state companies to Russian oil, as not all traders agree to pay in other currencies.