U.S. Offers Tariff Relief from 50% to 25% to India in Exchange for Halting Russian Oil Imports

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WASHINGTON — In a sharp escalation of trade and geopolitical tensions, White House Trade Adviser Peter Navarro stated this week that India could receive a 25% reduction in U.S. tariffs—if it agrees to cease importing Russian oil. The offer comes amid growing criticism from Washington over New Delhi’s continued energy ties with Moscow.

Speaking to Bloomberg Television, Navarro accused India of indirectly funding Russia’s war in Ukraine through discounted crude purchases, calling the conflict “Modi’s war.” He argued that India’s oil payments help sustain Russia’s military operations, while American taxpayers bear the cost of supporting Ukraine.

“India can get 25% off tomorrow if it stops buying Russian oil,” Navarro said, linking tariff relief directly to energy policy decisions.

The Trump administration recently doubled tariffs on Indian goods to 50%, affecting over half of India’s exports to the U.S., including textiles and jewelry. Indian officials have condemned the move as “unfair and unjustified,” emphasizing that energy decisions are based on national interest and market realities.

External Affairs Minister S. Jaishankar defended India’s position, noting that the country’s energy security for 1.4 billion citizens cannot be compromised. He also pointed out that other major economies, including China and the EU, continue to purchase Russian energy.

As India weighs its options, the standoff raises broader questions about the intersection of trade policy, energy independence, and global diplomacy.


Sources: Bloomberg Television, Business Standard, India Today.

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