INDIA WARNS US OVER 100% RUSSIAN OIL TARIFF, VOWS TO PROTECT ENERGY SECURITY

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RismadarVoice Reporters
September 17, 2026

India has warned that a new United States measure allowing tariffs of up to 100 per cent on countries buying Russian energy could strain relations between New Delhi and Washington, as the government vowed to protect the country’s energy and economic interests.

The warning followed the passage of a sweeping sanctions and tariff bill by the US House of Representatives aimed at increasing economic pressure on Russia over its war in Ukraine.

The legislation, which had earlier passed the Senate, has been sent to President Donald Trump for his signature. It gives the US president authority to impose tariffs of up to 100 per cent on countries, including major Russian energy buyers such as India and China.

India’s Ministry of External Affairs said New Delhi had repeatedly raised concerns about the proposed measures with US officials and made clear their possible consequences for bilateral relations and the international energy market.

The government said India remained committed to securing reliable energy supplies and would continue purchasing from different suppliers based on market conditions.

It added that New Delhi was prepared to take necessary steps to protect its trade and economic interests and would work with industry stakeholders to address the potential consequences of the US legislation.

INDIA DEFENDS RUSSIAN OIL PURCHASES

India is the world’s third-largest oil importer and has become one of the major buyers of Russian crude since Moscow’s full-scale invasion of Ukraine in 2022 triggered extensive Western sanctions.

New Delhi has resisted pressure to significantly reduce those purchases, maintaining that its large population and economy require affordable, secure and dependable energy supplies.

Indian refiners have already arranged crude supplies for September and October that include Russian oil, according to industry sources.

Some refiners are urging the Indian government to negotiate with Washington before any new tariff is imposed, warning that removing Russian barrels from the market at a time of reduced Middle East supplies could push global oil prices higher and further squeeze refining margins.

Industry sources favour a transitional arrangement that could allow existing transactions to be completed or establish limits under which India could continue purchasing some Russian crude rather than face the full 100 per cent tariff.

TARIFF THREAT COULD COMPLICATE US-INDIA TRADE TALKS

The dispute could also complicate ongoing negotiations for a broader trade agreement between India and the United States.

The two countries have held months of negotiations but have yet to reach a final agreement, with New Delhi seeking improved terms.

Trade analyst Ajay Srivastava said Washington could use the tariff threat as leverage to pressure India to reduce Russian oil purchases while negotiations on the wider trade agreement continue.

Indian Trade Minister Piyush Goyal is expected to travel to the United States later this month for the G20 trade ministers’ meeting, where he is scheduled to hold discussions with US Trade Representative Jamieson Greer on the way forward for the proposed trade deal.

The latest dispute comes as India balances its longstanding relationship with Russia against expanding economic and strategic ties with the United States.

India and Russia recently reaffirmed plans to deepen their economic relationship and raise bilateral trade to $100 billion by 2030, from nearly $70 billion in the 2024-25 period.

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