India Petroleum Oils HS2710 Import Data 2025 August Overview

India Petroleum Oils (HS 2710) 2025 August Import: Key Takeaways

India’s August 2025 Petroleum oils imports (HS Code 2710) reveal a dual supply strategy: high-value refined products from SOUTH KOREA (35.95% value share) and bulk crude from RUSSIA and UAE, reflecting cost-efficiency and premium-grade demand. The market shows strong geographic concentration, with refined oil imports commanding higher unit prices (0.68 USD/kg) versus crude. Buyer behavior and supply chain risks remain tied to geopolitical tensions and refining capacity. This analysis, covering August 2025, is based on cleanly processed Customs data from the yTrade database.

India Petroleum Oils (HS 2710) 2025 August Import Background

What is HS Code 2710?

HS Code 2710 covers petroleum oils and oils obtained from bituminous minerals (other than crude), including preparations containing ≥70% petroleum oils. These products are critical inputs for industries such as transportation, energy, and manufacturing, ensuring stable global demand due to their foundational role in fuel and lubricant production. India’s refining capacity and consumption patterns make this HS code strategically significant for both domestic supply chains and international trade.

Current Context and Strategic Position

In August 2025, India’s HS Code 2710 imports faced dual policy shifts: a domestic tariff restructuring splitting 2710 91 00 into three new items with updated duty rates (20% BCD + 10% SWS) [Union Budget], and a U.S. imposition of 25% additional tariffs on select Indian goods, potentially affecting related HTS subheadings [International Trade Insights]. India’s role as a major refined petroleum exporter (notably under HS 2710) underscores its vulnerability to such trade measures, necessitating vigilance in 2025 August market dynamics. The interplay of domestic policy adjustments and external tariffs highlights the need for stakeholders to monitor India petroleum oils HS Code 2710 import flows closely.

India Petroleum Oils (HS 2710) 2025 August Import: Trend Summary

Key Observations

In August 2025, India's imports of Petroleum oils under HS Code 2710 skyrocketed to 124.95 billion USD, with a volume of 326.66 million kg, representing an unprecedented surge compared to the stable monthly averages of around 1.2 billion USD earlier in the year.

Price and Volume Dynamics

The month-over-month comparison shows a dramatic spike in import value from July's 1.19 billion USD to August's 124.95 billion USD, while volume dropped from 704.41 million kg to 326.66 million kg, indicating a massive increase in unit prices rather than typical volume growth. This outlier is inconsistent with usual industry stock cycles or seasonal demand patterns for petroleum products, which typically see more gradual fluctuations, suggesting it is an exception driven by external factors rather than inherent market dynamics.

External Context and Outlook

The extreme volatility in August 2025 aligns directly with the imposition of a 25% additional U.S. tariff on certain Indian imports, including those under related HS codes, effective late August [CBP Issues Guidance]. This policy likely triggered accelerated import activities to avoid higher costs, overshadowing routine trade flows. Looking ahead, while India's refining capacity and export strengths under HS 2710 may stabilize imports, ongoing geopolitical tensions could sustain price sensitivity and disrupt normal cycles (International Trade Insights).

India Petroleum Oils (HS 2710) 2025 August Import: HS Code Breakdown

Product Specialization and Concentration

According to yTrade data, India's import of petroleum oils under HS Code 2710 in August 2025 was dominated by high-value, non-light petroleum oils, specifically the product described as petroleum oils not light oils, which held 84.90 percent of the total import value. This specialized grade had a unit price of 812.01 USD per kilogram, indicating a focus on premium products. An anomaly was identified with light oils at 1.48 USD per kilogram, which is isolated due to its extreme low price and not included in further analysis.

Value-Chain Structure and Grade Analysis

The non-anomalous sub-codes fall into two categories: high-value finished oils and medium-value oils. High-value oils, with unit prices ranging from 425.45 to 3017.55 USD per kilogram, include both light and non-light varieties, suggesting a market for differentiated, finished goods rather than fungible bulk commodities. Medium-value oils, priced around 83.17 to 129.92 USD per kilogram, represent lower grades or less processed forms, indicating some diversity in quality within India Petroleum oils HS Code 2710 Import.

Strategic Implication and Pricing Power

This structure gives suppliers of high-value oils significant pricing power, while importers face cost pressures and need to secure reliable sources for premium grades. Recent Indian tariff modifications, such as those detailed in the Union Budget, could impact import costs and strategies [Union Budget]. For August 2025, market players should prioritize managing supply chains for high-grade oils and stay informed on policy changes to mitigate risks.

Check Detailed HS 2710 Breakdown

India Petroleum Oils (HS 2710) 2025 August Import: Market Concentration

Geographic Concentration and Dominant Role

In August 2025, India's import of Petroleum oils under HS Code 2710 showed strong geographic concentration, with SOUTH KOREA as the dominant supplier due to its high value share of 35.95% despite a lower weight share of 20.18%, indicating imports of higher-value refined products. This value-weight disparity suggests that India sourced premium-grade oils from SOUTH KOREA, while other top partners like RUSSIA and UNITED ARAB EMIRATES had high weight shares but low value shares, pointing to bulk crude oil imports. The unit price for imports from SOUTH KOREA was approximately 0.68 USD/kg, reflecting the cost of refined varieties.

Partner Countries Clusters and Underlying Causes

The top partners form two clear clusters: high-value suppliers like SOUTH KOREA, SINGAPORE, and UNITED STATES, which likely provide refined petroleum products due to their advanced refining industries and trade agreements with India. Bulk crude oil suppliers include RUSSIA and UNITED ARAB EMIRATES, with weight shares over 23% but value shares below 5%, driven by India's need for cost-effective raw materials and existing energy partnerships. A middle cluster with countries like SAUDI ARABIA and CHINA TAIWAN shows balanced ratios, possibly supplying mixed oil grades based on regional refining capacities and shipping logistics.

Forward Strategy and Supply Chain Implications

For market players, diversifying import sources is key to managing price volatility and supply risks, especially with geopolitical tensions, such as the U.S. imposing additional tariffs on Indian goods [International Trade Insights], which could indirectly affect trade flows. Leveraging India's strong refining capacity for re-export, as noted in news reports (ReadOn), suggests focusing on value-added processing while securing stable crude inputs from diverse regions like the Middle East and East Asia to ensure cost efficiency and supply chain resilience.

Table: India Petroleum Oils (HS 2710) Top Partner Countries (Source: yTrade)

Get Complete Partner Countries Profile

India Petroleum Oils (HS 2710) 2025 August Import: Action Plan for Petroleum Oils Market Expansion

Strategic Supply Chain Overview

India Petroleum oils Import 2025 August under HS Code 2710 is driven by product grade and geopolitical sourcing. Price is determined by quality: high-value refined oils (e.g., from SOUTH KOREA at ~812 USD/kg) cost more than bulk crude. Supply security depends on stable crude inflows from partners like RUSSIA and value-added processing for re-export. This creates a dual supply chain: secure crude for refining efficiency and premium imports for quality needs.

Action Plan: Data-Driven Steps for Petroleum oils Market Execution

• Use HS Code 2710 sub-code data to track premium oil prices. This prevents overpaying for low-grade shipments.
• Analyze buyer frequency clusters to forecast bulk purchase cycles. It ensures inventory matches dominant buyer demand.
• Monitor partner country value-weight ratios like SOUTH KOREA’s high value share. This optimizes sourcing for cost-effective quality.
• Track policy updates on tariffs daily. It avoids cost spikes from sudden changes like U.S. duties on Indian goods.
• Diversify suppliers using geographic concentration reports. It reduces risk from over-reliance on any single region.

Risk Mitigation and Forward Strategy

Policy shifts are the top risk, like new tariffs disrupting cost structures. Over-dependence on high-value buyers and refined import partners creates vulnerability. Diversify supply sources and buyer segments to balance exposure. Use real-time trade data to adapt quickly to market or policy changes. This ensures stable supply and profit margins for India Petroleum oils Import 2025 August.

Take Action Now —— Explore India Petroleum oils Import Data

Frequently Asked Questions

Q1. What is driving the recent changes in India Petroleum oils Import 2025 August?

The unprecedented surge in import value to 124.95 billion USD, despite a drop in volume, was likely triggered by external factors like the U.S. imposing a 25% tariff on related imports, accelerating purchases to avoid higher costs.

Q2. Who are the main partner countries in this India Petroleum oils Import 2025 August?

SOUTH KOREA dominated with a 35.95% value share, followed by RUSSIA and UNITED ARAB EMIRATES, which supplied bulk crude oil but contributed less than 5% in value.

Q3. Why does the unit price differ across India Petroleum oils Import 2025 August partner countries?

Prices vary due to product specialization: SOUTH KOREA supplied high-value refined oils (0.68 USD/kg), while RUSSIA and UAE provided cheaper bulk crude, reflecting differences in processing and grade.

Q4. What should importers in India focus on when buying Petroleum oils?

Importers should prioritize securing high-value, non-light oils (84.9% of import value) from premium suppliers like SOUTH KOREA while diversifying sources to mitigate geopolitical and tariff risks.

Q5. What does this India Petroleum oils import pattern mean for overseas suppliers?

Suppliers of refined products (e.g., SOUTH KOREA) have strong pricing power, while bulk crude exporters must compete on cost, given India’s focus on premium grades and refining capacity.

Q6. How is Petroleum oils typically used in this trade flow?

India likely imports high-grade oils for refined fuel production and industrial use, while bulk crude supports domestic refining and energy infrastructure needs.