Donald Trump has once again escalated his pressure on India over its oil purchases from Russia and stated that he would impose ‘massive’ tariffs if India did not stop buying Russian crude. The United States is claiming that India’s increase of oil purchases from Russia, into major inflows as a result of ‘discounted’ prices is undermining the world’s effort to exert pressure on Russia for its war against Ukraine.
Donald Trump’s ‘Massive Tariffs’ Warning To India
Trump has previously imposed steep tariffs on Indian goods raising tariffs on Indian products to 50 percent in August 2025 which he argued was in retaliation for India’s continued import of oil from Russia. The United States argues that India is engaging in what people call ‘arbitrage’ buying ‘cheap’ crude from Russia and then refining or re exporting it and believes this product is directly supporting the Russian war machine. Diplomatically, Trump noted that Prime Minister Modi personally assured him that ‘India would stop buying’ oil from Russia soon, though the Ministry of Foreign Affairs of India has not confirmed that. Trump described it as a ‘big step’, but admitted that it would take some time.
India’s ‘discounted’ Prices Russian Oil
India stresses energy security and the need for low priced crude oil to support its over 1.4 billion people. Officials have framed US pressure as an infringement on New Delhi’s strategic autonomy, and Russia has publicly backed this view by claiming the US threat of tariffs is indeed ‘illegitimate.’ Economically, analysts warn that India may take at least 1% of GDP growth hit if the US sticks with the tariffs, because Indian exports to the US are sizable and Indian industry has many tight linkages to the American economy. Trade talks between the US and India are now set to restart, which may provide a pathway forward if the countries can balance energy, trade and diplomatic considerations.
The US uses the tariff threats as leverage against Indian purchases of Russian oil, India balances its energy needs with strategic autonomy, and the larger US India relationship may now be in crisis due to this challenge at the intersection of energy, trade and geopolitics.
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