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Trump hits India: additional 25% tariffs to punish purchase of Russian oil

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Washington imposes punitive tariffs against New Delhi. India’s response: “Unjustified decision”

US President Donald Trump has signed an executive order imposing an additional 25% duty on Indian imports. The measure, published by the White House, is a direct response to India’s continued purchase of oil from Russia, despite international sanctions.

The text of the order states that “the actions and policies of the Russian government continue to pose a tremendous and extraordinary threat to the national security and foreign policy of the United States,” thus justifying the introduction of the ad valorem tariff.

Pressure and mutual accusations

The strategic relationship between Washington and New Delhi is showing clear signs of tension. In recent days, Trump had already publicly threatened to increase tariffs “within 24 hours,” accusing India of “financing the Russian war machine” through massive purchases of crude oil at discounted prices.

“They don’t care about the victims in Ukraine. For this reason, I will significantly increase tariffs on Indian goods,” he said. New Delhi’s reaction was swift: the Foreign Ministry called the accusations “unjustified and unreasonable,” claiming the right to defend its national interests and energy security.

Modi between Moscow and Washington

Prime Minister Narendra Modi, increasingly torn between the two powers, sent his national security adviser, Ajit Doval, to Moscow in the last few hours. The goal is to maintain the historic alliance with Russia—which accounts for 36% of imported crude oil—without compromising ties with the United States.

The Indian government insists that the purchase of Russian oil is a ‘purely commercial’ decision and accuses the US of ‘selective protectionism’, pointing out that Europe and the US also continue to trade with Moscow in non-energy sectors, such as fertilisers.

Strained relations

Tensions are undermining one of the most important bilateral relationships in the world. Just a few years ago, Trump called Modi “an extraordinary friend” and celebrated the strengthening of ties between the US and India. Today, the tone has changed dramatically. In a post on Truth Social, the US president wrote: “I don’t care what India does with Russia. They can crash their moribund economies together for all I care.”

Complicating the picture further is Kiev’s intervention. The head of the Ukrainian presidential office, Andriy Yermak, accused Moscow of using Indian components in attack drones, such as the Shahed and Geran models. “Russia must be denied access to foreign technologies that fuel its weapons,” he said on X.

Global risks on the price of crude oil

India is the world’s fourth-largest economy and imports about 80% of its energy needs. According to analyst Muyu Xu of Kpler, Russian oil has helped New Delhi sustain domestic growth and keep prices stable.

But hitting India with new tariffs could have global repercussions. “If India stops buying Russian oil, the price will rise for everyone, including the United States,” warns Amitabh Singh, a professor at Jawaharlal Nehru University. “Indian imports have so far avoided a rush for Middle Eastern crude, containing global inflation.”

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