Key Points:
- US President Donald Trump has threatened to impose “substantially” higher tariffs on Indian goods, citing India’s continued import of Russian oil amid the Ukraine war.
- Trump accused India of “fueling the Russian war machine” and selling Russian oil for profit, vowing that new tariffs could be enacted within 24 hours.
- India’s Ministry of External Affairs (MEA) forcefully rejected the allegations as “unjustified and unreasonable,” highlighting that the US and EU also maintain significant trade with Russia even as they criticize India.
- India stated that rising Russian oil imports were driven by the need for energy security after traditional suppliers diverted to Europe and with Western encouragement for market stability.
- The Kremlin also criticized Trump’s tariff threats as illegitimate, defending India’s right to choose its trading partners.
Washington D.C.: US President Donald Trump has sharply escalated trade tensions with India, threatening to impose steep new tariffs above the recently announced 25% rate on Indian exports “within 24 hours.” Trump’s move comes with claims that India’s ongoing Russian oil imports directly aid Russia’s actions in Ukraine and allow India to profit from reselling that oil in global markets. “They don’t care how many people are dying in Ukraine. That’s why I am going to increase taxes on India very much,” Trump posted on social media, accusing New Delhi of not heeding Western efforts to isolate Moscow.
India’s Defiant Response: US, EU Accused of Hypocrisy
India’s Ministry of External Affairs (MEA) hit back just hours later, dismissing the charges as “political and baseless.” Spokesperson Randhir Jaiswal emphasized that India turned to Russian oil out of necessity especially as Europe redirected much of the world’s energy supply after the Ukraine war and that the US itself had encouraged these purchases initially to stabilize global markets. MEA statistics showed the European Union traded €67.5 billion including €17.2 billion in services with Russia in 2024, and bought a record-breaking 16.5 million tonnes of Russian LNG. The US, meanwhile, continued to import Russian uranium and other commodities.
“Targeting only India is unfair and biased. India will take every necessary step to protect its national interests,” the MEA asserted, while also calling out the double standards of the West on Russia-related trade.
International Reaction: Russia Supports India’s Right to Trade
The Kremlin defended India, blasting Trump’s threats as illegitimate attempts to coerce sovereign nations into cutting commercial ties with Russia. “Sovereign countries have the right to choose their own trading partners,” stated Kremlin spokesperson Dmitry Peskov.
Impact and Outlook
Analysts say that while US tariffs may create headwinds for India’s exporters, the Modi government is preparing countermeasures and strengthening its “Make in India” initiatives to promote economic resilience. Despite external pressure, India’s government has made clear it will not back down on Russian oil purchases, viewing energy security and national interest as paramount.
The ongoing US-India standoff underscores deepening geopolitical fractures over Russia’s place in global trade, with serious implications for global supply chains and diplomatic relations.
