US-Russia Seek Energy Deal as Trump Hits India
The United States and Russia are reportedly exploring an energy agreement just as President Donald Trump is set to raise tariffs on Indian imports to 50 percent, with increased duties aimed at penalizing India’s continued purchase of Russian oil. These discussions highlight shifting global alignments at a time of escalating trade tensions.
Trump Doubles Down on Tariffs
Trump has doubled existing U.S. tariffs on Indian goods—from 25 to 50 percent—effective August 27, citing India’s oil trade with Russia as undermining U.S. foreign policy and national security interests. The additional levy is widely viewed as a direct response to India’s refusal to scale down its crude imports from Moscow.
India Holds Its Ground
India has condemned the tariffs as “unfair, unjustified, and unreasonable,” while reaffirming its commitment to energy independence. Officials indicated that Indian refiners would make only a modest reduction in Russian crude purchases, making clear there are no plans to halt them altogether.
Broader Impact on Trade and Strategy
The tariff escalation comes after the collapse of U.S.–India trade talks that once aimed to lift bilateral trade to $500 billion by 2030. Disagreements over agriculture, dairy, and energy policies derailed the discussions. Analysts warn the outcome could strain strategic ties and accelerate India’s pivot toward Russia and China for diversified energy and trade partnerships.
