India’s 25% tariffs can be off tomorrow if it stops buying Russian oil: White House advisor

White House trade advisor Peter Navarro
| Photo Credit:
REUTERS/NATHAN HOWARD

Following the doubling of US tariffs on India to 50 per cent on Wednesday, White House advisor Peter Navarro has said the additional 25 per cent duties could be reversed if India stopped purchasing oil from Russia. 

Navarro further stepped up pressure on India to stop dealing with Moscow by dubbing the Russia-Ukraine conflict as “Modi’s war” and also asserted that both Russia and China were not New Delhi’s friend.

International affairs experts advise that India must not be swayed by such comments and should step carefully by weighing its economic and diplomatic interests with all major economies.

“India can get 25 per cent off tomorrow if it stops buying Russian oil and help in defeating the war machine. Instead of siding with democracies, you are getting in bed with authoritarians. You have been in a quiet war with China for decades. China invaded Aksai Chin and all your territory. They are not your friends. And Russia? Come on!” Navarro said in a media interview. 

Interestingly, just hours before Navarro’s sharp criticism of India’s dealings with Russia, US Treasury Secretary Scott Bessent took a softer stand and pointed out that India was the world’s largest democracy while the US was the largest economy. “I think at the end of the day we will come together,” he said.

However, he maintained that since the US ran a trade deficit with India, it had the upper hand in the negotiations for a bilateral trade deal.

On the matter of its continued purchase of discounted Russian oil, India has so far maintained that it was necessary to ensure affordable energy for its 1.4 billion citizens and earlier it was Washington that encouraged it to source from Moscow to stabilise global prices. It also accused the West of double standards as both the US and the EU were continuing to trade with Russia. “India’s approach ought to be discussion and diversification. So far India’s strategic patience with US unilateralism has been reasonable but going forward continued imposition of unreasonable and unjustified tariffs and sanctions may provoke retaliatory measures in proportionality and to guard the national interest . But I hope sanity prevails,” former Ambassador Anil Trigunayat told businessline.

While the government is exploring diversification of markets, some exporters have suggested that India should more assertively demand greater market access from Russia itself. “As the steep additional tariff has been imposed due to buying from Russia, we should urgently request Russia to give duty free access to all the impacted industries, said Sanjay Jain, a Delhi NCR-based textiles exporter.

Last week, Roman Babushkin, Chargé d’Affaires of the Russian Embassy, said at a media briefing that Russia would welcome Indian exports if they face difficulties in entering the US market but he did not make any promises.

While the Indian government is looking forward to continued negotiations with the US on a trade deal, it is also trying to expedite a support package for exporters, sources said.

The US is India’s largest market for goods with exports estimated at $86.5 billion in FY25, about 20 per cent of the country’s total goods exports. The tariffs hurt an estimated 60 per cent of India’s exports to the US with labour-intensive sectors such as garments, leather goods, gems & jewellery, engineering goods and shrimps affected the most.

Published on August 28, 2025