Source : INDIA TODAY NEWS
The threat of US tariffs of up to 100 per cent on countries buying Russian oil has put India in a fresh trade squeeze, with New Delhi among the biggest purchasers of Russian crude. The proposed measure could hit Indian goods entering the lucrative US market if Washington decides to penalise countries that continue importing Russian energy.
Against that backdrop, US presidential counsellor Peter Navarro has sought to ease concerns over the impact on India-US ties. He said President Donald Trump and Prime Minister Narendra Modi have a “very good working relationship” and would resolve the issue between themselves.
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“The President (Donald Trump) and your Prime Minister (Narendra Modi) have a very good working relationship. They are going to work that out amongst themselves, and it’s not for me or any gaggle to get between that,” Navarro said.
Navarro was responding to a question by news agency ANI about the Lindsey Graham bill, which could give Trump the authority to impose tariffs of up to 100 per cent on goods from countries that continue buying Russian oil and gas. His remarks follow ongoing India-US efforts to deepen ties while navigating differences over trade, energy and other key areas.
The proposed tariffs have emerged as a particularly sensitive issue because India remains one of the world’s major buyers of Russian crude.
NAVARRO DEFENDS HIS POSITION
The Trump aide also spoke about India’s growing purchases of Russian oil after the Ukraine war began. He referred to an opinion article he wrote for the Financial Times around six to eight months ago.
Navarro said he had argued that India was not involved in the Russian oil trade before Moscow’s invasion of Ukraine. He said India’s involvement increased significantly after the war began.
“During the Ukraine-Russia war…6-8 months ago, I think I wrote wrote an op-ed in the Financial Times, which absolutely, factually, correctly, pointed out that prior to the Russian invasion of Ukraine, India was not involved in the oil trade with Russia, but afterwards it got heavily involved and was selling a lot of refined products on behalf of Russia, which helped feed the war machine,” Navarro said.
He claimed that the issue had since been resolved.
“And that issue has been resolved. Maybe I had a little bit to do with that with that op-ed,” he added.
Navarro also recalled the strong reaction his comments triggered online in India.
“But I can tell you, I got actually firebombed by the Indian continent on the internet,” he said.
He then cautioned against such responses.
“All I would say to you, don’t do that. That’s not how we resolve problems here in America,” Navarro said.
100% TARIFF THREAT OVER RUSSIAN OIL
The US Senate on August 7 passed a bipartisan bill that could authorise the US President to impose tariffs of up to 100 per cent on goods from countries that continue importing Russian oil and gas. The Senate approved the Lindsey O Graham Sanctioning Russia and Iran Act of 2026 by an 86-11 vote.
The legislation is aimed at increasing economic pressure on Russia and Iran. It also seeks to target countries that maintain major energy trade with Moscow.
Under the proposed legislation, the US President would have discretionary authority to impose tariffs of up to 100 per cent on imports from the world’s five largest buyers of Russian crude oil or natural gas. India and China are among the biggest buyers of Russian crude.
The measure would effectively put pressure on major energy-importing countries to choose between continuing to purchase Russian energy and maintaining access to the lucrative US market. The bill also proposes additional sanctions targeting Russian President Vladimir Putin, senior political and military officials, financial institutions and energy-related entities linked to Moscow’s war effort.
It further seeks to extend sanctions to older and reflagged oil tankers allegedly used by Russia to bypass international restrictions and maintain its energy export revenues.
INDIA’S RUSSIAN OIL TRADE IN FOCUS
India significantly increased its purchases of discounted Russian crude after the Russia-Ukraine conflict began in 2022. It helped Indian refiners secure relatively cheaper crude at a time when global energy markets were facing major disruptions.
Russia had not traditionally been one of India’s main crude suppliers. The availability of discounted Russian oil changed that equation after the war began. Indian refiners were able to use the cheaper crude to manage input costs and maintain domestic fuel supplies amid volatility in international markets.
The shift also became a source of tension with Washington and its allies, who have argued that purchases of Russian energy provide Moscow with revenues that can support its war effort.
India, meanwhile, has defended its energy purchasing decisions as being driven by national interests and the need to secure supplies for its large domestic market.
The proposed US legislation has therefore put the issue back under the spotlight.
– Ends
With inputs from agencies
SOURCE :- TIMES OF INDIA
