U.S. Imposes Tariffs on Goods From India Due to Business Agreements with Russia
The United States has imposed new tariffs on Indian goods, effective from August 27, 2025. This move comes as a response to India's continued purchases of Russian oil amid the ongoing Russia-Ukraine conflict.
According to the new tariffs, a base rate of 25% will be applied to all Indian imports. Additionally, an additional 25% tariff will be levied on imports related to Russia's crude oil trade, effectively doubling the total tariff rate on Indian goods entering the U.S. to 50%.
These "secondary tariffs" are intended to pressure Russia to end its aggression against Ukraine. The U.S. Treasury Secretary, Scott Bessent, has warned that these tariffs could increase further if diplomatic talks between President Donald Trump and Russian President Vladimir Putin, scheduled for mid-August 2025, do not result in de-escalation of the conflict.
India, the third-largest oil consumer globally, has been buying discounted Russian crude. The U.S. government sees this as indirectly "fueling the war machine" in Ukraine, while India defends its oil imports as necessary for energy security and based on market factors.
The U.S. has been putting pressure on major energy consumers like China and India to reduce their reliance on Russian fossil fuels. Russia has been waging an aggressive war against its neighbour Ukraine for over three years.
In June 2021, India was the second-largest buyer of Russian fossil fuels, purchasing goods worth 4.5 billion euros. Among the most exported goods from the United States to India were oil and gas.
These tariffs are part of a larger tariff package against numerous other countries. The U.S. government, under President Donald Trump, has imposed additional 25% tariffs on India due to its oil deals with Russia. The first 25% of the tariffs will come into effect on a specific date (00:01 local time, not specified).
The tariffs are aimed at further weakening the economic base of the Kremlin. The U.S. Envoy, Steve Witkoff, held talks in Moscow on a specific date (July 29, not specified), but these negotiations did not yield any results. Trump's announcement followed Witkoff's departure from the negotiations.
It was already considered extremely unlikely that Putin would agree to Trump's demand for an end to the war in Ukraine. In 2024, India was one of the most important trading partners of the USA. The year of the copyright is 2025. (dpa, www.dpa.de)
[1] dpa (2025). U.S. imposes new tariffs on Indian goods in response to oil imports from Russia. Retrieved from www.dpa.de [2] Reuters (2025). U.S. increases tariffs on Indian oil imports from Russia. Retrieved from www.reuters.com [3] BBC News (2025). U.S. imposes new tariffs on India over Russian oil imports. Retrieved from www.bbc.com [4] The Economic Times (2025). U.S. imposes 25% tariff on Indian oil imports from Russia. Retrieved from economictimes.indiatimes.com
- The new tariffs imposed by the United States on Indian goods, a response to India's continued purchases of Russian oil amid the Russia-Ukraine conflict, are part of a larger economic and social policy intended to pressure Russia to end its aggression against Ukraine.
- As the U.S. continues to impose tariffs on countries like India due to their oil deals with Russia, the ongoing politics of war-and-conflicts and policy-and-legislation regarding energy trading will be closely monitored by general news outlets.