An oil tanker carrying Iranian crude changed its course mid-journey and is now heading toward China instead of India. Ship-tracking data shows this sudden shift has raised doubts about India’s potential first import of Iranian oil in nearly seven years.
The tanker, named Ping Shun, is an Aframax vessel sanctioned by the United States in 2025. It is carrying about 600,000 barrels of Iranian crude. It is now signalling Dongying in China as its destination. Earlier, it had listed Vadinar in Gujarat as its target port.
Indian refiners had recently explored buying Iranian oil after the US issued a temporary sanctions waiver. If the tanker had reached India, it would have marked the first such import since 2019. That year, stricter US sanctions forced India to stop purchasing Iranian crude.
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Iranian Oil Tanker Diverts from India to China Amid Payment and Trade Uncertainty
Experts believe payment concerns may have caused the diversion. Sellers now prefer upfront or quicker payments instead of offering 30–60 day credit. Analysts say this shift has made deals more difficult. However, the identities of the buyer and seller remain unclear. The vessel’s declared destination can also change during the journey.
This incident shows that financial factors now play a major role in oil trade decisions. India has said it will resume imports only if deals remain commercially viable. Before 2019, Iran was one of India’s key oil suppliers. Since then, India has relied on sources like the Middle East and the United States.
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