"Indulging In Trade With Russia Themselves": India Counters US Tariff Threat

The government, in a strongly worded statement, has hit back at the US after Donald Trump threatened to "substantially" raise tariffs on goods from India over its purchase of Russian oil. New Delhi also reminded Washington that when it began importing from Russia after the outbreak of the Ukraine conflict, the US "actively encouraged such imports". It also countered the stance of the European Union for singling out Indian refiners over their exports of crude.

The foreign ministry said that while India's imports are "a necessity compelled by the global market situation", the nations criticising it are themselves "indulging in trade with Russia" even when "such trade is not even a vital compulsion".

It then listed out the trade pacts these nations have with Russia. "The European Union in 2024 had a bilateral trade of Euro 67.5 billion in goods with Russia. In addition, it had trade in services estimated at Euro 17.2 billion in 2023. This is significantly more than India's total trade with Russia that year or subsequently. European imports of LNG in 2024, in fact, reached a record 16.5mn tonnes, surpassing the last record of 15.21mn tonnes in 2022."

"Europe-Russia trade includes not just energy, but also fertilisers, mining products, chemicals, iron and steel and machinery and transport equipment," read an official statement.

The government then pointed to the United States' imports from Russia: "Where the United States is concerned, it continues to import from Russia uranium hexafluoride for its nuclear industry, palladium for its EV industry, fertilisers as well as chemicals."

It justified its shift to Russia for crude and termed the targeting by the US and European Union "unjustified and unreasonable". "India began importing from Russia because traditional supplies were diverted to Europe after the outbreak of the conflict. The United States at that time actively encouraged such imports by India for strengthening the global energy market's stability."

"Like any major economy, India will take all necessary measures to safeguard its national interests and economic security."

New Delhi's tough remarks follow Trump's threat earlier today. "I will be substantially raising the Tariff paid by India to the USA," he posted on Truth Social, without specifying what the tariff would be.

Trump has threatened to slap tariffs of up to 100 per cent on countries that buy Russian oil unless Moscow reaches a peace deal with Ukraine by August 7-9. The US President has already announced a 25 per cent import duty on Indian goods entering America from August 7.

India, historically, bought most of its oil from the Middle East, but this changed after Russia began selling its oil at discounted rates after the West shunned it as punishment for its full-scale invasion of Ukraine in February 2022.