ADVERTISEMENT

NewsWorld

Trump Threatens Tariff Hike on India Over Russian Oil Purchase

U.S. President Donald Trump on Monday threatened to significantly raise tariffs on Indian imports, criticising the country’s ongoing purchases of Russian oil. The Indian government swiftly rejected the remarks as “unjustified” and reaffirmed its right to protect its economic interests, further straining ties between the two nations.

In a post on social media, Trump said: “India is not only buying massive amounts of Russian Oil, they are then, for much of the Oil purchased, selling it on the Open Market for big profits. They don’t care how many people in Ukraine are being killed by the Russian War Machine.”

He added, “Because of this, I will be substantially raising the Tariff paid by India to the USA.”

India’s Ministry of External Affairs responded strongly, with a spokesperson saying the country would “take all necessary measures to safeguard its national interests and economic security.”

“The targeting of India is unjustified and unreasonable,” the spokesperson said.

The remarks are part of a broader policy shift, as Trump vowed to impose new sanctions on Russia and nations that continue purchasing its energy exports unless Moscow makes visible progress toward ending its war in Ukraine.

The conflict, now in its fourth year, shows little sign of resolution, with Russian President Vladimir Putin giving no indication of backing down.

Despite the threat, Indian officials told Reuters over the weekend that the country would continue buying oil from Russia, citing national needs.

India has faced persistent pressure from the West to reduce its ties with Moscow since Russia invaded Ukraine in early 2022. However, New Delhi has maintained that its long-standing relationship with Russia and its domestic energy requirements must take precedence.

In July, Trump had already imposed a 25% tariff on Indian imports. U.S. officials have cited multiple unresolved geopolitical issues as barriers to a full-scale trade agreement between the two countries.

Trump has also taken aim at the BRICS alliance, which includes Brazil, Russia, India, China, and South Africa, labelling the group as antagonistic toward U.S. interests. BRICS nations have rejected the accusation, insisting the alliance seeks to promote cooperation among emerging economies.

India Remains Top Buyer of Russian Oil

India is currently the largest importer of Russian seaborne crude, purchasing around 1.75 million barrels per day from January to June 2025 — a 1% increase compared to the same period last year, according to trade data obtained by Reuters.

An Indian government official defended the imports, explaining that India turned to Russia after traditional suppliers shifted toward Europe during the early stages of the Ukraine conflict. “It was a necessity compelled by global market situation,” the spokesperson said.

The official also pointed to continued trade between Russia and Western nations: “It is revealing that the very nations criticizing India are themselves indulging in trade with Russia.”

Despite the firm government stance, Reuters sources said some Indian refiners paused purchases of Russian oil last week after Trump’s comments, as pricing advantages began to diminish.

Government officials have denied any change in official policy. Meanwhile, Indian Oil Corp, the country’s largest state-run refiner, reportedly secured 7 million barrels of crude from suppliers in the United States, Canada, and the Middle East, according to four trade sources.

India has also expressed frustration over Trump’s repeated claims that he was responsible for brokering a ceasefire between India and Pakistan in May.

Trump announced the agreement on social media, asserting that his intervention brought an end to a brief period of hostilities between the two nuclear-armed neighbours. Indian officials have not confirmed this version of events.

According to Richard Rossow, head of the India program at the Center for Strategic and International Studies in Washington, Trump’s unpredictable approach complicates India’s strategic calculations.

“India’s continued energy and defense purchases from Russia presents a larger challenge, where India does not feel it can predict how the Trump administration will approach Russia from month to month,” Rossow said.