The issue of India’s Russian oil imports and US President Donald Trump’s reaction has created a significant diplomatic and trade flashpoint.
Here are the full details:
1. Trump’s Claims and Warning to India
- Claim of Assurance: President Trump repeatedly claimed that Prime Minister Narendra Modi had personally assured him that India would stop buying Russian oil. He described this as a “big step” toward pressuring Russia over the Ukraine conflict.
- The Threat of Tariffs: Trump explicitly warned that if India does not halt its Russian oil purchases, it would continue to face “massive” US tariffs. The US had already imposed higher tariffs on certain Indian goods, partly as a consequence of New Delhi’s Russian oil acquisitions.
- Insistence on the Conversation: When questioned about India’s denial of any such assurance, Trump doubled down on his claim, implying that if India denied the agreement, the tariffs would remain in place.
2. India’s Official Response and Stance
- Denial of Assurance: The Indian Ministry of External Affairs (MEA) spokesperson publicly stated they were not aware of any recent conversation or telephone call between PM Modi and President Trump regarding an assurance to stop buying Russian oil.
- Focus on National Interest: India firmly stated that its energy import policies are guided entirely by the priority to “safeguard the interests of the Indian consumer in a volatile energy scenario.”
- “Twin Goals”: The MEA emphasized that the twin goals of India’s energy policy are stable energy prices and secured supplies, which necessitates “broad-basing our energy sourcing and diversifying as appropriate to meet market conditions.” This is interpreted as a clear defense of its independent policy, which includes buying discounted Russian crude.
3. The Underlying Conflict
- US Pressure: The US has been pressuring India to reduce its Russian oil imports, arguing that the revenue helps finance Russia’s military operations in Ukraine.
- India’s Economic Reality: India became the largest buyer of seaborne Russian crude after Western countries reduced their purchases due to the war. Indian refiners benefit significantly from the substantial discounts offered on Russian oil. Russia has become India’s largest oil supplier, and immediately stopping these purchases would be logistically complicated, increase global oil prices, and cost India billions more annually in import expenses.
- Trade Tensions: Russian oil imports have become a major sticking point in ongoing US-India trade negotiations, with the US using tariffs as leverage to push India to change its policy.
In essence, the situation highlights a major friction point where the US is attempting to use its economic influence to shape India’s foreign policy on the Ukraine conflict, while India is publicly asserting its strategic autonomy and prioritizing its domestic economic and energy security needs over external political pressure.