Discount, premium, discount, premium: How Russian crude prices swung as India stepped up procurement amid US-Iran war

Russian crude oil for India swung from $2 per barrel discounts before the US-Iran war to premiums of up to $20 over Brent at peak supply concerns.

During a brief ceasefire, Russian crude reversed to discounts of about $10 per barrel before returning to near parity as hostilities resumed.

The closure of the Strait of Hormuz in March 2026 stranded Gulf crude tankers, forcing Indian refiners to urgently secure alternative Russian supplies.

Houthi rebels intensified Red Sea attacks, disrupting Saudi exports to India and pushing Brent crude prices near $100 per barrel.

Indian refiners paid premiums of $12-20 per barrel for Russian crude as buyers competed for available cargoes already at sea.