European nonsense! India buys oil from Russia and resells fuel to Europe – Insolentiae

European nonsense!  India buys oil from Russia and resells fuel to Europe - Insolentiae


The functioning of the European institutions is always very unpleasant, because hypocrisy has a crucial place there.

Here’s an article from MarketWatch, America’s leading financial intelligence server, entitled “Why India is a big winner when the EU ban on Russia redraws the map of energy trade”!

Come on, let me give you a quick summary.

Europe no longer buys Russian oil or any oil refined in Russia.

But we have the same number of trucks to operate and the same number of sales that we have to make every day.

India suddenly buys oil from the Russians at a good price.

India refines this oil and re-exports it to us …

But honor is safe.

We didn’t buy oil from the Russians.

“As the EU withdraws from Russia’s refined products, we increasingly suspect that India is de facto becoming a refining center for Europe,” said Michael Tran, a global energy strategist at RBC, in a note on Tuesday.

All this is part of the seismic changes that are taking place in the physical market for raw and refined raw materials after the Russian invasion at the end of February and the rounds of sanctions imposed on Moscow.

Meanwhile, India’s new role comes from dealing with cheap Russian oil, which it refines at a dizzying pace and then exports refined products.

India buys a record amount of Russian oil at significant discounts, operates its refineries above nominal capacity and obtains economic rents from exorbitant disparities and exports gasoline and diesel to Europe. In short, the EU’s policy of turning Russia’s screws is a political victory, but the unintended consequence is that Europe is actually importing inflation into its own citizens. This is not only an economic benefit for India, but also serves as an accelerator for India’s position on the new geopolitical map of oil trade. We are thinking that EU policy is, in fact, making India an increasingly important source of energy for Europe. This has never been the case historically, which is why Indian exports have reached record highs in recent months. “

This is all absurd.

It’s not politics, even with a small p.

It’s pathetic.

It’s short-sighted.

You will not win the war by declaring embargoes that you are circumventing yourself.

Sad Europe with desperate leaders.

I can tell you we will never win this war.

Charles SANNAT

“This is a ‘presslib’ article, that is to say, in whole or in part, without reproduction, provided that this paragraph is reproduced after it. Insolentiae.com is a site on which Charles Sannat speaks daily and provides an impertinent and uncompromising analysis of economic news. Thank you for visiting my site. You can subscribe to the daily newsletter at www.insolentiae.com for free. »

Source MarketWatch.com here



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