DECEMBER 20249ROSNEFT AND RELIANCE SIGN LARGEST OIL TRADE AGREEMENT WORTH $13BAUTO COMPONENTS MARKET RECOVERS TO PRE-PANDEMIC LEVELSRussia's state oil firm, Rosneft, has signed a landmark agreement to supply nearly 500,000 barrels per day (bpd) of crude oil to Indian private refiner Reliance Industries. This represents the largest-ever energy deal between the two countries, according to three sources familiar with the matter.The 10-year agreement, valued at approximately $13 billion annually at current prices, accounts for about 0.5 percent of the global crude supply. This deal underscores the deepening energy ties between India and Russia, even as Moscow faces stringent Western sanctions over its 2022 invasion of Ukraine.Rosneft declined to comment on the deal, while Reliance stated that it collaborates with international suppliers, including Russia, based on market conditions. The company refrained from further details, citing the confidentiality of its supply agreements.This development comes in the lead-up to a planned visit by Russian President Vladimir Putin to India. It also follows comments from U.S. President-elect Donald Trump expressing his intention to mediate the conflict between Russia and Ukraine once he takes office.India has become the largest importer of Russian crude oil after the European Union, the previous top buyer, imposed sanctions on Russian oil imports. This surge in Russian oil imports has reduced India's reliance on Middle Eastern suppliers, posing increased competition for nations like Saudi Arabia. The Reliance-Rosneft deal further consolidates Russia's position in India's energy market, which now sources over a third of its crude from Russia. the Automotive Component Manufacturers Association of India.Addressing the performance, Vinnie Mehta, Director General of ACMA, noted, "With vehicle sales and exports displaying steady performance, the auto component industry demonstrated a growth of 11.3 percent scaling a turnover of Rs. 3.32 lakh crore ($39.6 billion) in the first-half of FY 2024-25." He also mentioned that the overall supply of auto parts to the entire stratum of the market: from OEMs to exports and the aftermarket, remained stagnant.According to ACMA, components exported to OEMs in the domestic market have increased by 11 percent YOY to Rs 283000 crore ($33.8 billion) during the F1H of FY 2024-25. The aftermarket, which currently stands at Rs 47,416 crore ($5.7 billion), rose by 5 percent yoy from Rs 45,158 crore ($5.5 billion) in H1FY24.Speaking about the performance of the auto component industry, Shradha Suri Marwah, who is the President of ACMA and the CMD of Subros, mentioned, "With vehicle sales across all segments reaching pre-pandemic levels and despite geopolitical challenges on the exports front, the auto components sector witnessed a steady growth in both domestic and the international markets in the first-half of FY2024-25". The Indian auto parts and vehicle components trade upwardly by 11.3 Pc to INR 3,32,332 Cr. ($39.6 B) in the FY24 first half (April-September 2024), against a similar time of FY24. This data was collected from the Industry Performance Review for the period 2024-25 of
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