UPSC Prelims Practice Questions — The U.S. ends Russia oil waiver, implications for India
Q1. With reference to the membership of the Price Cap Coalition on Russian seaborne crude oil, consider the following statements: Which of the above statements is/are NOT correct?
- Australia is a member of the Price Cap Coalition.
- Japan is a member of the Price Cap Coalition.
- India is a member of the Price Cap Coalition.
- Canada is a member of the Price Cap Coalition.
- A. 1 and 4
- B. 3 only
- C. 2 and 3
- D. 1, 2 and 4
Q2. With reference to the G7/EU price cap on Russian seaborne crude oil, consider the following statements: Which of the statements given above is/are correct?
- The price cap was set at US$60 per barrel.
- It came into force on 5 December 2022.
- It legally prohibits third-country buyers such as India from importing Russian crude.
- It bars Western firms from providing insurance and shipping for Russian crude sold above the cap.
- A. 1 and 2 only
- B. 3 and 4 only
- C. 1, 2 and 4
- D. 1, 2, 3 and 4
Q3. Which one of the following Union Ministries is the nodal ministry concerned with the import of crude oil and petroleum products in India?
- A. Ministry of Commerce and Industry
- B. Ministry of Petroleum and Natural Gas
- C. Ministry of External Affairs
- D. Ministry of Finance
Q4. With reference to India's crude oil import profile, consider the following statements: Which of the statements given above is/are correct?
- India meets about 88% of its crude oil needs through imports.
- India is the world's third-largest oil importer after the United States and China.
- In January–October 2025, Russia was India's single largest crude oil supplier.
- India imports crude oil exclusively from Russia, Iraq, Saudi Arabia and the UAE.
- A. 1, 2 and 3
- B. 1 and 4 only
- C. 2, 3 and 4
- D. 1, 2, 3 and 4
Q5. With reference to the additional US tariff imposed on India in August 2025 over its Russian oil purchases, consider the following statements: Which of the statements given above is/are correct?
- It was imposed through an executive order titled 'Further Modifying the Reciprocal Tariff Rates'.
- It took effect on 27 August 2025, raising total US tariffs on India to 50%.
- It was imposed under Section 231 of CAATSA rather than as a reciprocal-tariff measure.
- A. 1 and 2 only
- B. 2 and 3 only
- C. 1 and 3 only
- D. 1, 2 and 3
Q6. With reference to the August 2025 US tariff action on India and India's response, consider the following statements: Which of the above statements is/are NOT correct?
- India's Ministry of External Affairs termed the additional tariffs 'unfair, unjustified and unreasonable'.
- The United States framed the additional tariff as a national-security concern.
- The additional tariff took effect 21 days after its announcement.
- According to the MEA, India was the only country importing Russian oil.
- A. 1 only
- B. 4 only
- C. 2 and 3
- D. 1 and 4
Q7. Which one of the following statements best describes the Strait of Hormuz?
- A. The only maritime passage connecting the Persian Gulf to the Gulf of Oman and open ocean, carrying roughly a quarter of the world's seaborne oil trade
- B. The strait linking the Red Sea to the Gulf of Aden past the Bab-el-Mandeb
- C. The channel between the Malay Peninsula and Sumatra connecting the Indian and Pacific Oceans
- D. The waterway connecting the Mediterranean Sea to the Red Sea via the Suez Canal
Q8. With reference to the Strait of Hormuz, consider the following statements: Which of the statements given above is/are correct?
- About 20.3 million barrels of petroleum per day transit the Strait of Hormuz, roughly a quarter of the world's maritime oil trade.
- Unlike the Strait of Malacca, the Strait of Hormuz has no readily available alternative maritime route.
- The shipping lanes of the Strait of Hormuz lie within Iranian territorial waters.
- A. 1 and 2 only
- B. 2 and 3 only
- C. 1 and 3 only
- D. 1, 2 and 3
Q9. Which one of the following Indian refiners handling Russian crude imports is a private-sector company?
- A. Indian Oil Corporation (IOC)
- B. Bharat Petroleum (BPCL)
- C. Nayara Energy
- D. Mangalore Refinery (MRPL)
Q10. The following pairs match Indian refiners of Russian crude with their ownership sector. Consider the pairs: Which of the above statements is/are NOT correct?
- Reliance Industries — private sector
- Nayara Energy — private sector
- Bharat Petroleum (BPCL) — public sector
- Mangalore Refinery (MRPL) — private sector
- A. 1 and 2
- B. 3 only
- C. 4 only
- D. 2 and 4
Q11. With reference to Phase-I of India's Strategic Petroleum Reserves operated by ISPRL, consider the following statements about their locations: Which of the above statements is/are NOT correct?
- Visakhapatnam is a Phase-I Strategic Petroleum Reserve location.
- Mangaluru is a Phase-I Strategic Petroleum Reserve location.
- Padur is a Phase-I Strategic Petroleum Reserve location.
- Chandikhol is a Phase-I Strategic Petroleum Reserve location.
- A. 4 only
- B. 1 and 2
- C. 3 only
- D. 2 and 4
Q12. With reference to CAATSA and the August 2025 US tariff on India, consider the following statements: Which of the statements given above is/are correct?
- CAATSA was enacted in 2017, and its Section 231 mandates secondary sanctions on entities conducting significant transactions with Russia's defence sector.
- India faced potential CAATSA sanctions over its purchase of the S-400 missile system.
- The August 2025 additional tariff on India was imposed under CAATSA's Section 231.
- A. 1 and 2 only
- B. 2 and 3 only
- C. 1 and 3 only
- D. 1, 2 and 3