Trump alleges India of stoking war engines, threatens imposition of 'significant' customs duties
In an unprecedented move, U.S. President Donald Trump has threatened to impose a 25% tariff on Indian imports, effective August 27, 2025. This action is in response to India's continued purchases of Russian oil, which Trump sees as supporting the Russian Federation's economy amid its actions against Ukraine.
The tariffs aim to address a "national emergency" related to Russia’s threats, as declared by the administration [1]. The U.S. Secretary of Commerce, along with other officials, will evaluate if similar tariff actions might be necessary for other countries importing Russian oil [1].
However, unlike India, China, the largest buyer of Russian oil, importing $62.6 billion worth of Russian oil in 2024, has not faced comparable tariffs for its oil imports. While the U.S. is monitoring other countries' involvement, no current public tariffs or threats specifically targeting China have been reported [1].
India has defended its actions, stating that its imports of Russian crude were driven by economic necessity amid global supply disruptions, not by profit motives. India's National Security Adviser Ajit Doval is scheduled to visit Russia this week, and External Affairs Minister S. Jaishankar is also expected to make a visit soon [1].
The report by the Global Trade Research Initiative (GTRI) suggests that Trump may be targeting India unfairly. GTRI clarified that Trump's statement about India buying massive amounts of Russian oil and selling it on the open market for big profits is factually incorrect and misleading [1].
Trump's remarks come a day after making similar accusations, escalating trade tensions between the U.S. and India. Trump accused India of undermining Western sanctions by buying crude from Moscow and reselling it for profit [1].
India has emphasized that it would "take all necessary measures" to protect its national interests and economic security. The growing trade dispute between the U.S. and India could have broader economic implications for India, according to analysts [1].
The European Union, on the other hand, traded €67.5 billion ($78 billion) with Russia in 2024, including record imports of liquefied natural gas (LNG) reaching 16.5 million metric tons [1].
As the situation unfolds, it appears that the U.S. is aiming to economically isolate Russia by penalizing countries that import its oil. India faces direct sanctions now, and the prospect of others, possibly including China, being assessed for similar measures [1].
[1] Source: Global Trade Research Initiative (GTRI) Report, August 2025
- The ongoing war-and-conflicts between Russia and Ukraine have ignited policy-and-legislation discussions, as evidenced by the U.S. administration's tariff policies targeting countries importing Russian oil.
- Amidst the general-news of trade tensions and economic sanctions, the prospect of China facing similar tariff threats for its imports of Russian oil, like India, is gaining attention in politics and crime-and-justice circles, as China remains the largest buyer of Russian oil.
