Trump Tells India: Stop Buying Russian Oil or Face 25% Tariffs

Donald Trump has escalated tensions with India, delivering a blunt warning to Prime Minister Narendra Modi to halt purchases of Russian oil or face serious consequences.

The US President accused New Delhi of helping to bankroll Moscow's war in Ukraine, claiming India is 'buying massive amounts' of discounted Russian crude and reselling it for profit.

In public remarks and posts on social media, Trump said India's oil trade with Russia was fuelling the Kremlin's 'war machine' and signalled that higher tariffs on Indian goods could follow if Modi refuses to comply. The threat, reported by DW, has unsettled relations between two of the world's largest democracies.

'They don't care how many people in Ukraine are being killed by the Russian war machine,' Trump said, accusing India of putting profit ahead of morality. He argued that his proposed tariffs were aimed at cutting off funding to Russia's military campaign.

Can India Source Oil Elsewhere?

As CNN notes, India is the third-largest oil importer in the world, relying on foreign suppliers for roughly 80% of its needs. Russian oil now accounts for more than one-third of those imports, making a sudden shift away from Moscow's supplies a formidable challenge.

Amitabh Singh, associate professor at Jawaharlal Nehru University, said: 'OPEC has some spare capacity, but it's difficult to ask them to pump 3.4 million barrels overnight.'

Previous US sanctions have already blocked India from buying oil from Iran and Venezuela, leaving limited alternatives. Singh explained: 'There is very limited space in which the Indian oil economy or market can operate.'

Why India Buys Russian Oil

Russian crude trades at a steep discount compared with traditional suppliers. India's deals with Moscow have helped keep import costs lower, supporting its fast-growing economy and urban expansion.

India's Ministry of External Affairs has said the move towards Russian oil accelerated after Western sanctions forced Middle Eastern suppliers to redirect shipments to Europe.

Beyond domestic needs, Russian oil plays a crucial role in India's refining sector. Last year, India exported over $86 billion in refined oil products, and access to discounted Russian crude was a major factor in enabling those sales.

India Rejects Trump's Demand

India's government has pushed back against Washington's pressure. Foreign Ministry spokesman Randhir Jaiswal said: 'The targeting of India is unjustified and unreasonable. Like any major economy, India will take all necessary measures to safeguard its national interests and economic security.'

Jaiswal also criticised Western nations for continuing to trade with Russia in other goods, accusing them of hypocrisy. He argued that those who criticise India are 'indulging in trade with Russia' themselves.

Former Foreign Secretary Shyam Saran warned that Trump's stance could seriously damage bilateral ties. 'Donald Trump was supposed to be good for India in his second presidency,' Saran said, but added that the reality had been the opposite. He described Trump's demands as exaggerated, political as well as economic, and harmful to India's national interests.

Tariff Threats Loom Over Trade Relations

Trump has threatened to increase tariffs on Indian goods to as much as 25% or more. The US is India's largest trading partner, and such a move could hit Indian exporters hard.

'India has not been a good trading partner ... so we settled on 25%, but I think I'm going to raise that very substantially over the next 24 hours, because they're buying Russian oil, they're fuelling the war machine, and if they're going to do that, I'm not going to be happy,' Trump said.

The potential tariff hike underscores the growing strain in US–India relations, as Washington pushes New Delhi to align more closely with its position on the war in Ukraine.