U.S. President Donald Trump on Monday renewed his threat to raise tariffs on Indian goods over New Delhi's purchases of Russian oil. India called the remarks "unjustified" and pledged to defend its economic interests, further deepening the trade rift between the two nations, reports Reuters on Tuesday.
"India is not only buying massive amounts of Russian Oil, they are then, for much of the Oil purchased, selling it on the Open Market for big profits. They don't care how many people in Ukraine are being killed by the Russian War Machine," Trump wrote in a social media post.
"Because of this, I will be substantially raising the Tariff paid by India to the USA," he added.
A spokesperson for India's foreign ministry said in response that India will "take all necessary measures to safeguard its national interests and economic security."
"The targeting of India is unjustified and unreasonable," the spokesperson added.
Trump has said that from Friday, he will impose new sanctions on Russia as well as on countries that buy its energy exports unless Moscow takes steps to end its alomost three and a half year war with Ukraine.
Alchemical Solutions Private Limited (Alchemical Solutions) tops the list, accused of importing Iranian petrochemical products worth over $84 million.
Russian President Vladimir Putin has shown no public sign of altering his stance despite the deadline.
Over the weekend, two Indian government sources told Reuters that India will keep purchasing oil from Russia despite Trump's threats.
India has faced pressure from the West to distance itself from Moscow since Russia invaded Ukraine in early 2022. New Delhi has resisted, citing its longstanding ties with Russia and economic needs.
Trump had already announced on July 25% tariffs on Indian imports, and U.S. officials have cited a range of geopolitical issues standing in the way of a U.S.-India trade accord.
India is the biggest buyer of seaborne crude from Russia, importing about 1.75 million barrels per day of Russian oil from January to June this year, up 1% from a year ago, according to data provided to Reuters by trade sources.
Trump has also cast the wider BRICS group of developing nations as hostile to the United States. Those nations have dismissed his accusation, saying the group promotes the interests of its members and of developing countries at large.
India began importing oil from Russia because traditional supplies were diverted to Europe after the outbreak of the Ukraine conflict, the Indian spokesperson said, calling it a "necessity compelled by global market situation."
The spokesperson also noted the West's, particularly the European Union's, bilateral trade with Russia: "It is revealing that the very nations criticising India are themselves indulging in trade with Russia."
Despite the Indian government's defiance, the country's main refiners paused buying Russian oil last week, sources told Reuters. Discounts to other suppliers narrowed after Trump threatened hefty tariffs on countries that make any such purchases.
Indian government officials denied any policy change.
The country's largest refiner, Indian Oil Corp, has bought 7 million barrels of crude from the United States, Canada and the Middle East, four trade sources told Reuters on Monday.
India has also been frustrated by Trump repeatedly taking credit for an India-Pakistan ceasefire that he announced on social media in May, which halted days of hostilities between the nuclear-armed neighbours.
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