Moscow's energy exports are going to be complicated by the EU's ban on Russian seaborne crude.
Russia has diverted more shipments to Asia in order to make up for the loss of Europe.
There are a number of possible disruptions from longer shipping routes and a squeeze on tanker demand. Russia was forced to look for shorter routes to send oil to Asia.
The ban will start on December 5. Delivery to alternative buyers in India could take 10 times as long if the EU is barred from transporting Russian oil shipments.
The EU embargo could affect Russian oil exports outside of Russia.
Moscow has been scrambling to find alternative buyers after crude shipments to northern Europe fell in the last four weeks.
Russia is making up for lost demand by exporting record volumes to Asia. The country has overtaken Saudi Arabia and Iraq to become India's top crude supplier.
According to a Kpler analyst, Russia's pivot towards Asia will become more and more evident.
The Asia-bound flows will only get bigger once Russia stops transporting its crude into the Mediterranean.
Russia has increased its dependence on Asian buyers. Compared to the routine voyage to Europe, oil shipments to India and China need to travel thousands of miles.
The average voyage length will increase with more Asian discharges. A trip from the same Russian port to India would take between 35 and 40 days.
Increased demand for long-range tankers could cause the availability of such vessels to be squeezed and make it more difficult for Russia to get things done.
"It could easily be five or six times the distance and that means that you'll need much more ships to transport the same volume that you imported previously," said an analyst at the time. Demand for product tanker will be driven by that.
Increased freight rates are a result of tight tanker demand. The shipping industry's benchmark trade route earned $100,000 a day earlier this week, the highest in more than a year.
Russia is seeking shorter shipping routes to Asia. President Putin launched two nuclear-powered icebreakers that will benefit trade with Asia.
The shortest route between Europe and east Asia was used to send an ice-breaker tanker of oil to China.
It's a crucial time for oil markets as the Organization of the Petroleum Exporting Countries is said to be considering an increase in crude output. Saudi Arabia denies the claim.
Over the past five months, the price of crude has fallen due to recession fears and China's COVID-19 policies. In order to support prices, the Organization of the Petroleum Exporting Countries has cut production. When the oil group made the announcement, the price ofBrent crude fell 9%.
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