Washington (TDI): US President Donald Trump has warned that Washington could swiftly raise tariffs on Indian goods if New Delhi fails to scale back its purchases of Russian oil.
Speaking to reporters aboard Air Force One on Sunday, Trump said India’s continued trade with Russia had drawn his displeasure. “Modi is a good guy. He knew I wasn’t happy, and it mattered to him to keep me satisfied,” Trump remarked.
Asked specifically about India’s imports of Russian crude, Trump said the United States had leverage, Reuters reported. “They do trade with Russia, and we can revise tariffs on them very quickly,” he added.
Last year, the United States doubled tariffs on Indian imports to 50 percent, citing India’s large-scale purchases of Russian oil. Despite the punitive move, India’s exports to the US surged in November, underscoring the resilience of bilateral trade.
Buoyed by the stronger export figures, Indian officials have taken a firm position in negotiations with Washington, showing little willingness to concede on sensitive areas such as agricultural market access. At the same time, official data suggests that India has begun reducing its intake of Russian crude.
Read More: Trump Warns India of Massive Tariffs Over Russian Oil Purchases
Prime Minister Narendra Modi has held at least three phone conversations with Trump since the tariff increase, though the talks have yet to yield a breakthrough.
Read More: Trump’s Tariff Hike on Indian Goods Takes Effect
Meanwhile, India’s Commerce Secretary Rajesh Agrawal met US Deputy Trade Representative Rick Switzer in New Delhi last month to discuss trade and economic cooperation, as both sides continue efforts to reset the relationship amid growing pressure over energy ties with Russia.
