A shadowy fleet of ‘ghost ships’ is ferrying Russian oil to Indian ports

The nondescript oil tanker fleet underpins the Kremlin's wartime economy

Often unmarked and hidden from commercial tracking systems, a growing fleet of "ghost ships" is quietly delivering sanctioned Russian oil to ports in China and India — intensifying tensions with Washington as high-stakes trade negotiations unfold with both countries.

President Donald Trump on Monday condemned India’s practice of purchasing discounted Russian crude and re-exporting refined oil products on the global market — a tactic that props up Moscow’s wartime economy.

In response, he announced plans to raise tariffs on Indian imports, casting the move as part of a broader strategy to hold nations accountable for unfair trade practices and for undercutting Western sanctions.

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Central to Trump’s argument is a covert network of nondescript oil tankers — often referred to as "ghost ships" — that quietly ferry Russian crude in defiance of G7 price caps and European Union sanctions imposed following the Kremlin’s unprovoked invasion of Ukraine.

An oil tanker transporting Russian oil

A view of the tanker "Eventin" off the coast of the German island of Rügen. The vessel was previously reported as transporting crude oil originating from Russia. (Stefan Sauer/picture alliance via Getty Images / Getty Images)

"Russia is able to avoid some of the worst parts of sanctions against its energy exports with its shadow fleet," Benjamin Jensen, director of the Futures Lab at the Washington, D.C.-based Center for Strategic and International Studies think tank, told FOX Business.

"Energy is the lifeblood of the Kremlin's economy, and that means it's that hard cash that they're earning through energy exports that they're able to then quickly turn into payments to new contracted soldiers and to produce more weapons," Jensen said.

He added that countries that continually purchase sanctioned oil are "actively supporting Russia in its war."

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Despite U.S. sanctions, China is the leading importer of Iranian oil and the second-largest buyer of Russian crude, much of which is funneled through the growing fleet of untracked "ghost ships."

The discreet maritime network of "ghost ships" is drawing renewed attention as the Trump administration works to finalize major trade agreements with India and China.

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Last month, Treasury Secretary Scott Bessent identified China’s support for sanctioned oil as a central point of contention during trade talks with Beijing in Sweden.

Jensen, who is also a senior fellow at the Center for Strategic and International Studies, said Russia’s "ghost fleet" employs several evasion tactics to circumvent U.S. sanctions.

These ships often operate under foreign flags to obscure their origins, frequently change names, transfer ownership through shell companies, disable transponders to evade tracking, and conduct mid-sea transfers to conceal their cargo.

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"Imagine one ship leaving port, meeting another in international waters, transferring its goods, and then that second ship continuing the journey," Jensen told FOX Business of the ship-to-ship transfers.

"In some cases, the crews might not even fully always appreciate that they're transporting illegal Russian oil," added Jensen.

Tanker carrying sanctioned Russian oil

An aerial view of the tanker "Eventin" carrying sanctioned Russian oil off the coast of the German island of Rügen.  (Stefan Sauer/picture alliance via Getty Images / Getty Images)

Earlier this year, the 19-year-old crude oil tanker named "Eventin" was seized by German authorities after the ship suffered engine failure in the Baltic Sea. The vessel was previously identified as a ship that exports Russian crude oil and other petroleum products.

German authorities discovered that the Panama-flagged vessel, which was previously named "Charvi" and "Storviken," was carrying 99,000 tons or approximately $45 million worth of Russian oil.

Oil tanker Eventin part of a fleet of ghost ships evading sanctions

A view of the tanker "Eventin" off the coast of Germany. The vessel was previously reported as transporting crude oil originating from Russia. (Stefan Sauer/picture alliance via Getty Images / Getty Images)

Jensen said that while some ships in the shadow fleet have been intercepted, a comprehensive, whole-of-government approach is needed. 

He described one that brings together the intelligence community, law enforcement, and agencies like the Commerce and Treasury departments to coordinate with international partners, seize vessels, and make it increasingly difficult for Russia to circumvent sanctions.

"You are never going to be able to completely stop all oil smuggling, but you can reduce it and make it harder and harder to do," Jensen said.

"But don't think this is only a China or Iran or North Korea issue. There's a lot of countries where commercial actors see the opportunity to increase their profit margins, and that makes ghost ship oil more attractive."

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