United States President Donald Trump has said that Russia has lost India as an oil client. He explained that India, which had been buying a large share of oil from Russia, has now reduced its role. According to him, India was taking about 40% of Russia’s oil exports. Trump also noted that China continues to import large amounts of Russian oil, and he suggested that the United States could act against it if needed.
Speaking in an interview aboard Air Force One, Trump said that secondary tariffs, also called secondary sanctions, could be very tough. He warned that if these measures are imposed, they would be “very devastating” for the countries involved. However, he added that he might not need to impose them immediately. His comments came after Washington announced an additional 25% tariff on imports from India starting August 27, and Trump threatened that total tariffs could rise to 50%.
India Pushes Back Against US Tariffs
The White House said that India’s purchase of Russian oil poses a risk to US national security and foreign policy. Based on this, it announced that most Indian goods entering the United States would now face higher taxes. Only items already in transit or meeting special exemptions would not be affected.
US considers sanctions on Rosneft and Lukoil if ceasefire talks with Putin fail
India’s Ministry of External Affairs issued a statement objecting to the move. It said that India’s oil imports are based on market factors and on the need to ensure energy for its 1.4 billion citizens. The ministry described the US decision as unfair, unjustified, and unreasonable. It also stated that India would take all necessary steps to protect its national interest.
The statement added that several other countries also buy Russian oil for their own energy security. Indian officials argued that targeting India alone was not correct and that such actions would harm trade ties while putting additional pressure on businesses.
Oil Imports and the Numbers Behind Them
While Trump said that India has reduced its role as a client, recent data shows that India’s oil imports from Russia have actually increased. According to energy data, India’s crude imports from Russia rose to about 2 million barrels per day in the first half of August, up from around 1.6 million barrels per day in July. This means Russian oil accounted for 38% of India’s total crude imports during this period.
UN voices concern over US tariffs on India tied to Russian oil trade
The increase in Russian oil purchases has been offset by declines from other suppliers. Imports from Iraq dropped to about 730,000 barrels per day in August from over 900,000 in July. Purchases from Saudi Arabia also fell, going from 700,000 barrels per day to just above 520,000. The United States ranked fifth as a supplier, sending about 264,000 barrels per day to India.
India is the world’s third-largest oil importer. Before the conflict in Ukraine began in 2022, Russian oil made up less than 0.2% of India’s total crude imports. That share has now grown close to 40%. The main reason for this increase has been discounts offered by Russia. At one point, these discounts reached up to 40 dollars per barrel compared to other suppliers. Recently, the discount narrowed to around 1.5 dollars per barrel, but has risen slightly again to more than 2 dollars.
Alongside these developments, US Treasury Secretary Scott Bessent said that sanctions on India could increase, stay in place, or be extended for a long period depending on talks between Washington and Moscow. His remarks came as President Trump traveled to Alaska for a summit meeting with Russian President Vladimir Putin. The meeting ended without any agreement on the ongoing conflict in Ukraine.