US President Donald Trump announced his intention to impose high customs duties on Indian imports, against the backdrop of New Delhi to buy large quantities of Russian oil and sell part of it in global markets, which Trump considered “an unfair business benefit in light of the ongoing conflict in Ukraine.”
Trump said in a post on his “Truth Social” platform, that India is not satisfied with buying huge quantities of Russian oil at reduced prices, but rather re -exporting some of them to achieve great profits, without indifference – according to his description – with the repercussions of the war in Ukraine.
He added, “For this reason, I will significantly increase customs duties on Indian goods,” in a move that may re -tense trade relations between the two countries.
In previous statements, Trump revealed his intention to impose a 25% tariff on the imports of the United States from India, which is the fifth largest economy in the world, noting that there is a major trade deficit that Washington seeks to address.
For its part, Indian government sources confirmed to “Reuters” that India will continue to buy oil from Russia, taking advantage of the preferential prices offered by Moscow in light of Western sanctions, as part of the policy of securing its energy needs.
In the past two years, India has become one of the most prominent importers of Russian oil, as its daily imports exceeded two million barrels, which represents about 45% of its total imports of crude oil, according to American economic reports.
The New York Times indicates that the commercial relationship between New Delhi and Moscow extends for decades, and that the energy sector is one of the pillars of this cooperation, especially after the Russian invasion of Ukraine in February 2022, when Russian oil exports decreased to Europe, compared to its remarkable rise to India.
According to the newspaper’s data, the value of Indian purchases of Russian oil amounted to about 275 billion dollars in two years, benefiting from price cuts, and its companies refining oil locally and then exporting it in the form of duplicate products, including to European markets.
Analysts expect that, if applied, the American customs escalation will lead to economic pressure on India, despite its preservation of its position as one of the fastest global growth economies, and its competition for major economies such as Japan and Germany.
