US Links Tariffs on India to Pressure on Russia Ahead of Trump-Putin Summit
US President Donald Trump has claimed that imposing tariffs on India for its Russian oil purchases successfully pressured Moscow into seeking talks. Ahead of a high-stakes summit in Alaska with Vladimir Putin, Trump stated that the tariffs made Russia lose its "second largest customer," prompting the meeting. US Treasury Secretary Scott Bessent warned that these tariffs could be increased if the talks do not go well. India's Ministry of External Affairs has endorsed the summit, hoping it will lead to peace in Ukraine.
Unpacked:
The US imposed a 25% additional tariff on Indian-origin goods, effective August 27, 2025, in response to India's continued importation of Russian oil. This follows a prior 25% duty, bringing the total IEEPA tariff rate on covered goods to 50%.
Despite the tariffs, Indian refiners have not significantly changed their Russian oil import strategy, according to top officials. India continues to purchase Russian oil, with government statements suggesting the tariffs have not forced a policy shift.
The Alaska summit is seen as a high-stakes meeting aimed at addressing Russia’s actions in Ukraine. The US views it as an opportunity to pressure Russia diplomatically, with hopes of initiating negotiations for peace in Ukraine.
India’s Ministry of External Affairs has endorsed the summit, expressing hope it will lead to peace in Ukraine. However, India has not agreed to cut Russian oil imports and maintains that its trade policies are based on national interests.