Trump Raises Tariffs on India Over Continued Russian Oil Imports

DOWNLOAD IPFS

The United States imposes steep new tariffs on Indian imports, citing New Delhi’s sustained oil trade with Russia as the trigger for the policy shift. The decision adds tension to the strategic partnership between the two countries.

President Donald Trump has announced a significant escalation in trade measures against India, doubling tariffs on a wide range of Indian goods to 50 percent. The move, framed as a direct response to India’s ongoing purchase of Russian oil, signals a harder stance from Washington amid growing global concerns over energy funding tied to Moscow.

The initial tariff rate had been set at 25 percent but was raised following months of unheeded warnings. While the U.S. and India had previously pledged to deepen economic cooperation, the new restrictions underscore a shift in tone from cooperation to confrontation.

During a White House meeting earlier this year, Trump touted the goal of reaching $500 billion in bilateral trade by 2030. However, talks reportedly stalled due to India’s continued energy engagement with Russia. Trump’s administration views India’s oil purchases as undermining collective efforts to isolate the Kremlin economically.

Indian authorities have called the tariff hike unjustified, maintaining that their energy policies are guided by national interest and market stability. Indian refiners had benefited from discounted Russian crude in recent years, but now face mounting pressure to shift their sourcing elsewhere.

According to Indian government advisors, the increased tariffs could shave up to 1 percent off the country’s GDP growth, particularly affecting key export industries such as textiles, pharmaceuticals, and electronics. Still, Indian officials have reaffirmed their commitment to safeguarding economic sovereignty and exploring alternative trade arrangements.

In response to the tariff pressure, several state-run Indian refiners have already begun scaling back spot purchases of Russian oil. Instead, they are turning toward suppliers in the Middle East, West Africa, and the United States to diversify energy imports without compromising supply security.