US President Donald Trump has imposed additional punitive tariffs of 25 percent on India. The White House announced on Wednesday that India's continued purchases of Russian oil were the reason. Trump signed an executive order doubling the tariff on many Indian products to 50 percent. It will take effect in three weeks.
The decree released by the White House states that India "directly or indirectly imports oil from the Russian Federation," arguing that this poses a security risk to the United States due to the war in Ukraine. With the punitive tariffs, the US aims to reduce Russian oil revenues, which help finance the war of aggression against Ukraine. In his decree, Trump called the war an "unusual and extraordinary threat to the national security and foreign policy of the United States."
Ministry of External Affairs, India, responded that its imports are driven by market factors and aimed at ensuring energy security for its 1.4 billion population. It finds the US actions unfortunate, especially since many other countries are pursuing similar measures to safeguard their own national interests. India considers these tariffs unfair, unjustified, and unreasonable. The country affirms its commitment to taking all necessary steps to protect its national interests in response to these measures.
The Ministry also shared statement condemning the US and EU for targeting India’s Russian oil imports amid the Ukraine conflict. India began these imports after traditional suppliers redirected oil to Europe, a move initially supported by the US to stabilize energy markets. The Ministry highlighted that the US and EU continue extensive trade with Russia, including €67.5 billion in goods by the EU in 2024, in addition with services at €17.2 billion in 2023, and key Russian materials imported by the US, exceeding India’s trade volume. India insists its imports ensure affordable energy for its population and called the criticism unjustified, affirming it will protect its national interests and economic security.
India is the first country against which the US President has imposed so-called secondary sanctions. China, Brazil, and EU countries such as Hungary and Austria also continue to trade with Russia. Trump had originally threatened such countries with tariffs of "around 100 percent" if Russia did not end its attacks on Ukraine by this Friday. However, the US President had also expressed skepticism that Kremlin leader Vladimir Putin would be impressed by the ultimatum.
This Thursday, increased US import tariffs against India, the EU, and many other trading partners will take effect. The surcharge for India will initially rise to 25 percent. The new decree will take effect in three weeks and double the tariffs to 50 percent. This excludes so-called sector-specific surcharges. Special US tariffs of 50 percent already apply to steel and aluminum. Trump intends to set separate rates for products such as semiconductors and pharmaceuticals.
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