In a move that could strain U.S.–India relations, President Donald Trump announced plans to significantly increase tariffs on Indian imports, citing New Delhi’s continued trade with Russia—particularly in oil—as the reason. The announcement came via Trump’s Truth Social account on Monday, where he accused India of purchasing large volumes of Russian oil and reselling it at high profits on the global market.
“India doesn’t care how many people the Russian war machine has killed in Ukraine,” Trump wrote. “Therefore, I will significantly raise the tariffs India pays to the United States. Thank you for your attention to this matter!!!”
While the president did not specify the exact rate or timeline for the tariff hike, the move follows last week’s declaration that Indian goods would be subject to a 25% import duty starting August 1, citing both trade imbalances and India’s defense purchases from Moscow.
India swiftly responded, rejecting the criticism as “unreasonable.” Foreign Ministry spokesperson Randhir Jaiswal defended the country’s energy strategy, stating that India’s imports aim to provide “predictable and affordable energy costs” for its citizens. “Targeting India in this context is unfair and illogical,” he said. “Like any major economy, India will take all necessary steps to safeguard its national interests and economic security.”
The dispute comes amid growing global scrutiny of nations maintaining economic ties with Russia during its ongoing war in Ukraine. While Western countries have imposed sanctions, many—including EU members—continue to import Russian energy products, a point Indian officials highlighted in their rebuttal.
The escalating rhetoric threatens to disrupt years of diplomatic progress between Washington and New Delhi. With bilateral trade reaching $87.4 billion in 2024, any tariff increase could have wide-reaching economic consequences.
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