On Wednesday, an executive order was signed by President Trump introducing an additional 25% tariff that escalates the total tariffs on Indian imports to a staggering 50%. This decision, described by the White House as necessary due to national security concerns, follows India's ongoing purchase of Russian oil amidst the conflict in Ukraine.
The executive order states that the new tariff will be effective for goods entered for consumption, or withdrawn from warehouses starting 21 days after the order was signed. President Trump, emphasizing the gravity of the situation in Ukraine, remarked that India's actions are perceived as indifferent to the conflict, highlighting the U.S. stance that "the Russian Federation's actions in Ukraine pose an ongoing threat to U.S. national security."
The White House further elaborated that India's importation of Russian oil undermines U.S. efforts to counter Russia's activities and promotes financing for its aggression in Ukraine. Consequently, U.S. officials will be monitoring other nations also importing Russian oil, recommending future actions to the President as deemed necessary.
India’s response has been one of disapproval, with Foreign Ministry spokesperson Randhir Jaiswal labeling the tariffs as "unjustified and unreasonable." He pointed out that the U.S. had initially urged India to secure Russian gas to stabilize global energy markets amid the turbulence following the onset of the conflict.
India's criticism extended to the fact that while the U.S. imposes tariffs, it continues its trade relationships with Russia, engaging in approximately $3.5 billion worth of transactions last year despite the sanctions. As tensions rise between the two nations, India asserts that it will prioritize its national interests and economic security, navigating the complex geopolitical waters ahead.
