WASHINGTON: US President Donald Trump on Wednesday (Aug 6) ordered an additional 25 per cent tariff on goods from India for its purchases of Russian oil.
The tariff, set to take effect in three weeks, comes on top of a separate 25 per cent duty entering into force on Thursday, according to the text of the executive order released by the White House.
The order also threatens potential penalties on other countries deemed to be “directly or indirectly importing Russian Federation oil”.
Exemptions remain for items targeted by separate sector-specific duties such as steel and aluminium, and categories that could be hit, like pharmaceuticals.
The White House said the move was “necessary and appropriate”.
Trump has been ramping up pressure on India after signalling fresh sanctions on Moscow if it did not make progress by Friday towards a peace deal with Kyiv, as Russia’s invasion of its neighbour drags on.
India’s national security adviser was in Moscow on Wednesday, media in New Delhi reported, coinciding with a visit by US envoy Steve Witkoff.
India’s foreign ministry earlier said US pressure to stop it from buying Russian oil was “unjustified and unreasonable” and that it would protect its interests.
Trump’s move could reshape India’s economic ambitions. Many American companies have seen India as an alternative to the Chinese manufacturing that Trump had hoped to diminish through the use of tariffs.
Even though China also buys oil from Russia, Beijing was not subject to the additional tariffs in the order signed by the Republican president.
The US and China are currently in negotiations on trade, with Washington imposing a 30 per cent tariff on Chinese goods and facing a 10 per cent retaliatory tax from Beijing on American products.
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