US blames India’s Russian oil imports for fueling Ukraine conflict; doubles tariffs in a dramatic shift in trade and diplomacy
Washington Escalates Pressure on New Delhi
White House Trade Adviser Peter Navarro has ignited a diplomatic firestorm by labeling the Ukraine conflict as “Modi’s war”, directly blaming India’s Russian oil imports for prolonging the war and hurting the US economy.
- Speaking to Bloomberg, Navarro said India’s crude purchases fund Moscow’s war, profiting off steep discounts.
- His remarks came after the US doubled tariffs on Indian goods to 50%, tying future relief to India’s oil decisions.
“25% Off Tomorrow”: A Conditional Offer
Navarro offered tariff relief—25% off instantly—if India halts imports of Russian oil.
- He criticized India’s stand on sovereignty, stating: “India, you’re the biggest democracy in the world—act like one.”
- Navarro accused India of arrogance for ignoring US concerns, stating that New Delhi defies Western pressure under the pretext of autonomy.
Not Navarro’s First Salvo Against India
This isn’t the first time Navarro has accused India of enabling Russia.
- On August 21, he called India a “laundromat for the Kremlin,” alleging that Indian refiners are profiting from wartime arbitrage.
- Despite claiming admiration for Prime Minister Modi, Navarro insisted that India must rethink its role in the global economy.
Uneven Trade Policy: India Hit, China Spared
A sharp point of contention is the contrast between India and China’s treatment.
- Despite being Russia’s largest oil buyer, China has not faced increased tariffs or harsh public criticism from the US.
- Critics note this selective targeting undermines Washington’s credibility, especially given the ongoing US-China trade tensions.
India Defends Its Oil Policy as National Interest
New Delhi has rejected Navarro’s accusations, calling the tariff hike “unjustified” and defending Russian crude imports.
- PM Modi emphasized that India won’t compromise its energy security or economic priorities.
- Officials stated that Russian oil was not a traditional supply source, but became viable due to war-related discounts and the need to control domestic inflation.
A Widening Diplomatic Rift
The fallout highlights a deepening rift in US-India relations, especially under the Trump administration.
- Treasury Secretary Scott Bessent echoed Navarro’s sentiments, accusing India of exploiting sanctions for profit.
- Indian exporters are now scrambling to recalibrate strategies, with industries like pharmaceuticals and textiles particularly exposed.
