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Trump Threatens India With Tariff Hike Over Russian Oil Trade

“India is fueling the Russian war machine,” says President Trump as he threatens steep new tariffs. Delhi hits back, calls out US hypocrisy 

05-08-2025
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U.S. President Donald Trump has issued a sharp warning to India, announcing plans to significantly raise tariffs on Indian exports in response to the country’s ongoing oil purchases from Russia.

In an interview with CNBC on Tuesday, Trump expressed frustration over what he called an unequal trade relationship. “India does a lot of business with us, but we don’t get the same in return,” he said. “We agreed on a 25 percent tariff, but I plan to increase that substantially within 24 hours because they’re buying Russian oil. That supports the war machine.”

Trump’s remarks come on the heels of earlier criticism, where he referred to both India and Russia as "dead economies." His recent statements have intensified pressure on New Delhi following the imposition of a 25% tariff on Indian imports. Now, he’s calling out India for allegedly reselling Russian oil for profit.

“They're making big money selling Russian oil on the open market. Meanwhile, people are dying in Ukraine. Because of this, tariffs on Indian products will go up — and soon,” he posted on his Truth Social account on Monday.

India responded firmly, accusing the U.S. and European Union of hypocrisy. A senior official said, “The same countries criticizing India for buying Russian oil are themselves deeply engaged in trade with Russia.”

Adding to the backlash, the Kremlin defended India’s right to conduct independent foreign policy. Russian government spokesperson Dmitry Peskov accused Trump of trying to coerce allies into breaking ties with Moscow. “These are not legal actions. These are threats aimed at controlling sovereign nations,” he said.

President Trump’s comments have fueled diplomatic tensions, placing India’s energy strategy and trade relations under global scrutiny.

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