President Trump has vowed to sharply raise tariffs on Indian goods, accusing New Delhi of indirectly funding Russia’s war by continuing oil imports.
BY PC Bureau
New Delhi, Aug 6 — U.S. President Donald Trump on Tuesday signaled a sharp escalation in trade tensions with India, announcing plans to “very substantially” raise tariffs on Indian imports within the next 24 hours. The move, he said, was in response to India’s continued purchase of Russian oil, which he claims is indirectly supporting Moscow’s war in Ukraine.
“India has not been a good trading partner. They do a lot of business with us, but we don’t do business with them,” Trump told CNBC in a televised interview. “We settled on 25 percent, but I think I’m going to raise that very substantially because they’re buying Russian oil.”
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The remarks follow similar threats made earlier this week, where Trump accused India of profiting by re-exporting refined Russian crude. India, however, has hit back forcefully.
BREAKING : RW’s 69th father Trump gives another headache to Modi
“I will massively increase tariffs on India in next 24 hours if they don’t stop buying Russian oil” 🤯
No guts, no diplomacy, US treating Modi like a slave. Pathetic 🔔 pic.twitter.com/0bFlGcLcOb
— Ankit Mayank (@mr_mayank) August 5, 2025
In a sharp rebuttal, India’s Ministry of External Affairs said that its energy imports were driven by necessity and market realities. “The countries criticising us are themselves indulging in extensive trade with Russia—energy and otherwise—without the same compulsions,” said a government statement.
Citing Eurostat data, India pointed out that the European Union alone conducted €67.5 billion (approximately $78 billion) worth of trade with Russia in 2024, including a record 16.5 million metric tons of liquefied natural gas (LNG).
The Ministry added that Europe’s trade with Russia encompasses not just energy but also “fertilisers, chemicals, mining products, iron and steel, and machinery.”
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India also asserted that it would take “all necessary steps” to protect its national interests and economic security in light of escalating U.S. threats.
The fallout from Trump’s tariff threat marks a dramatic deterioration in ties, coming just days after he first announced a 25% tariff on Indian goods and hinted at penalties over India’s Russian oil imports. Diplomatic watchers say the rift has been widening since July 31.
Amid rising tensions, National Security Adviser Ajit Doval is expected to visit Russia this week. External Affairs Minister S. Jaishankar is also scheduled to travel there in the coming weeks, underscoring India’s strategic balancing act.
The tariff row has raised concerns over its impact on India’s export-driven sectors and overall economic stability, with analysts warning of prolonged strain if negotiations fail to de-escalate the crisis.
