Russian oil tankers are increasingly listing Singapore as their official destination, signalling a shift in export flows from India to China and growing concerns over Western sanctions, traders said and LSEG shipping data shows.
LSEG (London Stock Exchange Group) data shows tankers carrying about 1.4 million metric tons of Russian crude departed for Singapore in January, the highest monthly volume in recent years.
Singapore does not import Russian oil amid sanction risks but its nearby waters are sometimes used for ship-to-ship transfers, traders said.
Traders say many vessels ultimately discharge their cargo near Malaysia or transfer oil to floating storage units, with Singapore often used as a placeholder destination to mask final buyers.
“The rise in tankers listing destinations such as Singapore, Suez, or Port Said signals mounting difficulties with sales and a shrinking pool of reliable buyers,” said a Moscow-based oil trader.
The shift comes as India is expected to scale back or halt Russian oil imports following a recent trade deal with the US leaving China as Russia’s main customer.