India Warns That US Tariffs on Russian Oil Purchases Could Strain Bilateral Relations

Indian Prime Minister Narendra Modi and Russian President Vladimir Putin previously met on the sidelines of the Shanghai Cooperation Organisation (SCO) summit in Bishkek, Kyrgyzstan, on August 31, 2026. India has now cautioned the United States that new measures to impose tariffs over Russian oil imports could negatively affect bilateral ties, following a US Congress decision to grant President Donald Trump broader powers to penalize buyers of Russian oil.

The US House of Representatives passed a comprehensive sanctions and tariff bill designed to escalate economic pressure on Russia in response to its invasion of Ukraine. The legislation targets Russia’s energy and defence sectors, President Vladimir Putin, other senior officials, and Moscow’s shadow fleet of tankers used to evade Western sanctions. Additionally, the bill permits President Donald Trump to levy severe tariffs of up to 100 percent on nations like India to curtail their reliance on Russian oil and gas, alongside extending sanctions against Iran. The bill now awaits President Donald Trump's signature to become law.

India’s foreign ministry stated that it remains fully dedicated to securing energy for its population of 1.4 billion people. The ministry acknowledged the bill's passage and noted that New Delhi had previously communicated with US officials regarding the potential consequences for bilateral relations and global energy markets. India emphasized its resolve to safeguard its trade and economic interests through all necessary measures and pledged to collaborate with trade and industry groups to address the legislation's impact.

As the world’s third-largest oil importer, India remains a primary buyer of Russian oil, which has assisted Moscow in sustaining its budget following the full-scale invasion of Ukraine in February 2022 and subsequent Western sanctions. New Delhi has consistently resisted pressure to halt its oil trade with Russia, citing the critical energy demands of its vast population and economy.