Trump Slaps Tariff Over Russian Oil, But India Refuses To Be Bullied – Washington's Putin Obsession Isn't New Delhi's Problem

India.com

5 days ago

Washington/New Delhi: The former Joe Biden administration in the United States may have kept its diplomatic voice low, but President Donald Trump has raised the volume, slapping a 25% tariff on Indian goods effective August 1. The decision reignited tensions over India's growing energy ties with Russia.
While the official reason cited is trade imbalance, senior American officials are making no secret of what is really bothering Washington. It is India's continued purchase of discounted Russian oil. For the United States, that crude is more than fuel. It thinks the India-Russia energy ties are fuelling Vladimir Putin's war machine in Ukraine.
'This Is a Point of Irritation'
The latest remarks from US Secretary of State Marco Rubio shows a growing bipartisan discomfort in Washington.
'India is buying more oil from Russia now than ever before. That directly helps fund the war in Ukraine. There are other energy vendors. It is most certainly a point of irritation,' Rubio said when asked about India's decision to ramp up oil imports from Russia.
He did not stop there and warned that continuing these purchases 'sends a message that money is more important than accountability'.
'You cannot on one hand say you are against what Russia is doing in Ukraine, and on the other hand be one of its biggest financiers,' he added.
While India has repeatedly defended its right to make energy decisions in line with its national interest, Rubio's statements echo a broader sentiment, which is New Delhi's refusal to fall in line with U.S. sanctions is undermining the Western effort to isolate Moscow.
Trump Team Turns Up the Heat
The new tariffs come weeks after Trump's campaign began to criticise India's 'double game', partnering with the United States on Indo-Pacific defense while silently keeping Russian oil flowing.
Scott Bessent, Trump's Treasury pick, singled out India's growing refinery sector which processes Russian crude and exports it, sometimes to the very Western markets that are sanctioning Russia.
'That is not what responsible partners do,' he said in a pointed critique.
The message is if India continues to deepen energy and defense ties with Moscow, it may face more than just rhetorical disapproval.
India Holds Its Line
New Delhi has consistently rejected such criticism, pointing out that its energy purchases are made on purely economic grounds, especially in a turbulent global market.
Officials say India has a right to secure energy at affordable prices, and it is not violating any international law. The government is studying the impact of Trump's tariffs and is expected to respond after internal consultations.
'We are not financing any war. We are securing affordable fuel for 1.4 billion people. India's decisions are guided by energy security and national interest. We have not accepted secondary sanctions in the past and do not intend to do so now,' a senior official told reporters.
External Affairs Minister S. Jaishankar has previously defended India's stance, stating that Europe itself continues to buy Russian LNG and that India's per capita energy consumption remains among the lowest in the world.
But such explanations no longer appear to be cutting ice in Washington.
Strategic Crossroads
The friction puts India at a strategic crossroads. On the one hand, it is a key partner in Washington's Indo-Pacific plans, participating in Quad naval drills and buying U.S. defense platforms. On the other, its deep-rooted energy and military ties with Russia remain intact and even expanding.
Rubio's warning captures that contradiction. 'This is not about punishing India. It is about calling out a contradiction. You cannot fight for a free and open Indo-Pacific while bankrolling a war in Europe.'
As Trump prepares for a possible second term, India may find itself squeezed between two competing imperatives, which are national energy security and the growing expectations of its Western partners.
Bigger Than Oil
Observers say this is about more than barrels of crude. It is about global power realignment. India is emerging as a central voice in the Global South, asserting independence from both the United States and China-led blocs. Its refusal to condemn Russia outright or cancel defense deals with Moscow has frustrated U.S. expectations of an ally fully in sync with Western priorities.
Professor Harsh V. Pant, an international relations expert, calls it 'the friction of new multipolarity'.
'India is no longer a junior partner. The United States is learning that old carrots and sticks may not work,' he said.
Warning Shot or First Salvo?
The 25% tariffs, which will impact Indian exports of auto parts, pharmaceuticals and steel, are being seen by many as a calibrated move to pressure New Delhi.
Trump campaign insiders suggest more measures could follow, particularly targeting sectors where India has been seen as 'playing both sides'.
'India cannot be a swing state in a global war. You are either with the West, or you are helping Putin,' said one Trump adviser.
A Strategic Balancing Act
As the United States wraps up trade pacts with the United Kingdom, Japan and the European Union (EU), India remains on the edge of the table. Its ties with Russia, including plans to settle oil trade in rupees and boost defense procurement, are testing the patience of even its strongest Western supporters.
The 25% tariffs, many say, are economic punishment as well as a geopolitical message that strategic partnerships come with expectations.
But in New Delhi, the message may land as a reminder that autonomy often comes at a cost.