Trump doubles US tariffs on Indian goods, citing national security and Russian oil imports
India will now face a total of 50 percent tariffs on its goods entering the United States, after US President Donald Trump issued an executive order citing the country’s ongoing imports of Russian oil.
CNBC reported that the decision, announced Wednesday, adds a 25 percent tariff on top of duties already set to take effect Thursday—making India, alongside Brazil, one of only two countries subject to the US’s highest tariff rate.
According to the executive order, Trump stated that “the Government of India is currently directly or indirectly importing Russian Federation oil,” calling it a threat to US national security.
He described Russia’s military campaign in Ukraine as a “national emergency,” arguing it was “necessary and appropriate” to impose heightened duties.
India’s Ministry of External Affairs denounced the measures as “unfair, unjustified and unreasonable,” stating that its imports are driven by market factors and intended to ensure the energy security of its 1.4 billion citizens.
The ministry said it is “extremely unfortunate that the US should choose to impose additional tariffs on India for actions that several other countries are also taking in their own national interest,” as reported by Al Jazeera.
Trump’s decision comes at a critical time in US–India relations.
According to Al Jazeera, five rounds of bilateral trade talks have failed to yield a deal.
Meanwhile, Indian National Security Adviser Ajit Doval was in Russia this week, reportedly discussing pressure to curtail Indian purchases of Russian oil.
As per the CBC, India has accused the US and European Union of a double standard, noting that both regions continue to trade in Russian uranium, palladium, fertilisers and LNG.
The Indian foreign ministry highlighted that the EU conducted $107.4bn in trade with Russia in 2024, including record imports of 16.5 million tonnes of LNG.
According to CNN, India currently imports about 1.75 million barrels of Russian crude per day—36 percent of its oil imports—making Russia its largest supplier.
Kpler analyst Muyu Xu said India’s reliance on Russia is unlikely to change overnight, as OPEC lacks the spare capacity to immediately replace that supply.
India imports 80 percent of its oil needs and has already been forced to halt purchases from Iran and Venezuela due to past US sanctions.
Trump’s move has introduced uncertainty in energy markets.
Brent crude fell 1.1 percent to $66.89 per barrel, and US West Texas Intermediate dropped 1.2 percent to $64.35—the lowest levels in over eight weeks—after Trump said his envoy made “great progress” in peace talks with Putin, reported by Reuters.
Trump has made it clear that the tariff hike is meant to punish nations financing what he called “the Russian War Machine.”
On CNBC’s Squawk Box, he said, “If energy goes down enough, Putin is going to stop killing people … another US$10 a barrel, he’s going to have no choice because his economy stinks.”
Despite the pressure, Reuters reported that two Indian government officials said India would continue buying Russian oil.
The US threat has triggered rare bipartisan pushback in India.
Congress MP Manish Tewari said Trump’s “disparaging remarks hurt the dignity and self-respect of Indians,” calling for an end to “constant bullying and hectoring.”
According to CNN, some of the Russian crude imported into India is refined and then exported to countries including the US, UK, and EU.
The Centre for Research on Energy and Clean Air has urged G7 nations to close this loophole, which they say enables indirect Russian oil imports.
India exported US$86.28bn in refined petroleum products in 2023, according to the National Bureau of Asian Research.
The Kremlin also defended India, with spokesperson Dmitry Peskov calling US efforts to isolate Russia through trade penalties “illegal” and asserting that countries “should have … the right to choose their own trading partners.”
This development follows a July 31 social media post in which Trump accused India of profiting from Russian oil resales, writing, “They don’t care how many people in Ukraine are being killed by the Russian War Machine.”
While Trump left open the possibility of revisiting the tariff levels if India takes “significant steps” or retaliates, he sidestepped questions on Wednesday about singling India out.
“It’s only been eight hours. So let’s see what happens,” he said.
As relations cool, Indian Prime Minister Narendra Modi is set to visit China later this month for a regional security summit.
Indian officials confirmed the meeting to Reuters, suggesting a shift in diplomatic alignment as tensions with the US escalate.
