New Delhi: Things are getting tense in global trade, and India and Russia are standing together against Donald Trump’s threats. Trump wants to impose high tariffs on Indian goods because New Delhi is purchasing Russian oil. Both countries are not pleased with Washington. India thinks the USA and Europe are being hypocritical, and Russia says America’s actions are illegal and like old-school colonialism.
On Monday, Trump posted on Truth Social that he plans to significantly increase taxes on Indian imports. He says India is buying tonnes of Russian oil and selling it for huge profits, which hurts efforts to stop Russia’s war in Ukraine. Before this, he said there would be a 25% tax on Indian goods starting August 1, plus some kind of extra charge for India’s energy and weapons deals with Moscow.
India’s Ministry of External Affairs (MEA) quickly responded, saying it’s unfair for the USA to target New Delhi. They pointed out that the USA and Europe are still trading with Russia in areas like uranium, palladium, fertilisers, and chemicals, even though they criticised India for buying oil. The MEA said India needs to buy affordable energy for its people because of what’s happening in the world market. They said such trading is different from Western trade, which doesn’t have the same kind of urgent need.
Russia agrees with India. Kremlin spokesperson Dmitry Peskov said on Tuesday that countries can choose who they want to trade with based on what’s best for them. Peskov told reporters they see these threats from the USA as wrong and Washington shouldn’t try to control global trade. Maria Zakharova, spokesperson for the Russian Foreign Ministry, took a more assertive stance, stating that the USA is utilising colonial tactics to maintain its dominance. She said Washington’s economic pressure is a desperate attempt to fight the rise of a world where power is shared more widely, and she promised to work more with countries like India.
India’s oil imports from Russia went way up after Western countries put penalties on Moscow for the Ukraine invasion in 2022. This made Russian oil cheaper. Now, about 35% of India’s crude oil comes from Russia. From January to June 2025, India imported about 1.75 million barrels of oil per day, which is just a bit more than last year. This helped keep global energy prices stable. Indian officials, like Petroleum Minister Hardeep Singh Puri, have defended these purchases. They say India buys oil from around 40 countries and is following the EU’s price cap rules.
This trade fight is putting stress on the once-friendly relationship between Trump and Prime Minister Narendra Modi, who was called a friend at a White House meeting in February 2025. But New Delhi is annoyed by Trump’s aggressive tax plans and his claim that he brokered a ceasefire between India and Pakistan. Indian officials say they make their own decisions based on what’s best for the country. They also denied that Trump helped broker any ceasefire with Pakistan.
Experts say the 25% tax and other penalties could hurt India’s export businesses, like pharmaceuticals, textiles, and cars, and might slow down GDP growth by a bit. However, India’s strong demand at home and ongoing trade talks offer some hope. For now, New Delhi and Moscow are standing firm, putting their energy security and independence first, which sets the stage for a tense situation.
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