Trump To Impose Additional 25% Tariffs On India For Russia Oil Purchase

United States President Donald Trump has slapped an additional 25% tariffs on India for the purchase of Russian crude oil, the White House said on Wednesday.

Trump has signed an executive order mandating the imposition of additional import levies. "I find that the Government of India is currently directly or indirectly importing Russian Federation oil," he stated in the order, uploaded by the White House on its website.

"Accordingly, and as consistent with applicable law, articles of India imported into the customs territory of the United States shall be subject to an additional ad valorem rate of duty of 25 percent," Trump added.

This additional 25% tariff will come into effect from Aug. 27, as per the order.

This comes a week after Trump announced 25% reciprocal tariffs against India, starting from Aug. 7, citing the country's "trade barriers" and the wide "fiscal deficit" in the India-US trading relations.

The cumulative tariff on India adds up to 50%. This is at par with the import levies imposed by the Trump administration against Brazil.

China and Mexico were threatened with sharper levies, but both countries negotiated interim tariff pauses amid the ongoing trade talks.

The tariffs on India, however, have been imposed by the Trump administration despite both sides being locked in trade deal negotiations. The fifth round of talks concluded in Washington last month, and a team from the US is expected to visit New Delhi on Aug. 25 for the next set of deliberations.

Trump, earlier this week, sharpened his rhetoric against India, accusing the country of profiteering from the Russia-Ukraine war. "India is not only buying massive amounts of Russian oil, but they are also then, for much of the oil purchased, selling it on the open market for big profits," Trump posted on Truth Social.

"They don’t care how many people in Ukraine are being killed by the Russian War Machine. Because of this, I will be substantially raising the tariff paid by India to the US," he added.

This drew an official response from New Delhi, which pointed out that Washington had encouraged India's purchase of Russian crude following the Ukraine conflict to maintain stability in the global oil market.

Between April and June, Russian oil accounted for 33.7% of India's overall crude imports, as per official data. This is slightly lower as compared to calendar year 2024, when Russian oil accounted for 36% of India's cumulative crude imports.

The MEA, in a statement issued on Monday, said India's purchase of crude oil is determined by its energy security needs. It described the Russian oil imports "a necessity compelled by global market situation" in its statement, stating that they're "meant to ensure predictable and affordable energy costs to the Indian consumer."

"India began importing from Russia because traditional supplies were diverted to Europe after the outbreak of the conflict. The United States at that time actively encouraged such imports by India for strengthening global energy markets stability," it said.

The MEA also countered the US by pointing out that the country, along with the European Union, has been indulging in trade with Russia itself. "...it is revealing that the very nations criticising India are themselves indulging in trade with Russia. Unlike our case, such trade is not even a vital national compulsion," the MEA spokesperson said.

Europe-Russia trade includes not just energy, but also fertilisers, mining products, chemicals, iron and steel and machinery and transport equipment, the ministry pointed out.

"Where the United States is concerned, it continues to import from Russia uranium hexafluoride for its nuclear industry, palladium for its EV industry, fertilisers as well as chemicals," it had further said.