US president Donald Trump said Tuesday he was considering ‘substantially’ hiking tariffs on Indian imports in the next 24 hours over the country’s purchases of Russian oil.
‘India has not been a good trading partner, because they do a lot of business with us, but we don’t do business with them. So we settled on 25 per cent but I think I’m going to raise that very substantially over the next 24 hours, because they’re buying Russian oil,’ he told CNBC in a televised interview.
India and Russia have both slammed Donald Trump after he vowed to raise tariffs on India over its oil purchases from Russia.
India’s foreign ministry said Monday that the United States and European Union were ‘targeting’ it due to its buying of Russian oil, adding that the moves were ‘unjustified’ and that it would protect its interests.
‘The targeting of India is unjustified and unreasonable,’ India foreign ministry spokesman Randhir Jaiswal said in a statement, after US president Donald Trump vowed to raise tariffs on the country over its oil purchases from Russia.
‘Like any major economy, India will take all necessary measures to safeguard its national interests and economic security.’
It did not provide further details on the measures.
Meanwhile, the Kremlin on Tuesday criticised Donald Trump’s threat to raise tariffs on India over its purchases of Russian oil, a key source of revenue for Moscow’s military offensive on Ukraine.
Trump has given Moscow until Friday to make progress on a peace deal with Kyiv or face NEW economic sanctions that could include punishments on countries that purchase Russia’s vital oil and gas exports.
‘Sovereign countries have the right to choose their own trading partners,’ Kremlin spokesman Dmitry Peskov told reporters.
Without naming Trump, he criticised calls to ‘force countries to sever trading relations’ with Russia as ‘illegitimate’.
India became a major buyer of Russian oil, providing a much-needed export market for Moscow after it was cut off from traditional buyers in Europe because of the Ukraine war.
New Delhi saved itself billions of dollars while bolstering Moscow’s coffers.
But India on Monday argued it ‘began importing from Russia because traditional supplies were diverted to Europe after the outbreak of the conflict’.
It also noted that Washington at that time had ‘actively encouraged such imports by India for strengthening global energy markets stability.’
It pointed to what it suggested were double standards of EU and US trade with Moscow.
‘It is revealing that the very nations criticising India are themselves indulging in trade with Russia,’ Jaiswal added.
‘Unlike our case, such trade is not even a vital national compulsion.’
Jaiswal singled out examples of where deals were being done with Moscow.
‘Europe-Russia trade includes not just energy, but also fertilisers, mining products, chemicals, iron and steel and machinery and transport equipment,’ the statement added.
‘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.’
India, the world’s most populous country, was one of the first major economies to engage the Trump administration in broader trade talks.
The United States is India’s largest trading partner, with New Delhi shipping goods worth $87.4 billion in 2024.
India’s protectionist trade policies, however, saw it run up a surplus of nearly $46 billion the same year.
On Monday, Trump said in a post to his Truth Social platform that India was ‘buying massive amounts of Russian Oil’ and selling it for ‘big profits.’
‘Because of this, I will be substantially raising the Tariff paid by India to the USA,’ he wrote.
But he did not provide details on what tariff level he had in mind.
For now, an existing 10 per cent US tariff on Indian products is expected to rise to 25 per cent come Thursday.
Last month, the EU and Britain sought to ramp up economic pressure on Russia to halt the war in Ukraine by slashing a price cap meant to choke off revenues from key oil exports.
