US Cites Tariffs on India as Leverage to End Russia-Ukraine War
US Vice President JD Vance stated that the Trump administration's 50% tariffs on Indian imports are "aggressive economic leverage" intended to pressure Russia to end the war in Ukraine. The tariffs target India's purchase of discounted Russian crude oil. India's External Affairs Minister S. Jaishankar has rebuffed the criticism, asserting that India will continue to buy oil based on its national interest and market dynamics, noting that both the US and Europe also trade with Russia.
Unpacked:
The tariffs were imposed after India continued buying Russian crude oil despite U.S. warnings. In July 2025, the Trump administration gave Russia a short deadline to agree to a Ukraine peace deal, threatening secondary tariffs on countries trading with Russia. With no progress, the administration followed through, marking a shift to aggressive economic measures targeting India's trade with Russia.
Before the Ukraine war, India bought only about 1% of its crude oil from Russia. Since then, this has surged to roughly 42%, making Russia a major supplier to India and raising U.S. concerns about undermining Western sanctions on Russia.
India's External Affairs Minister has stated India will continue buying oil based on national interest and market dynamics. Some Indian refiners temporarily paused Russian oil imports after the announcement but later resumed some purchases, while others reduced their Russian oil orders. The longer-term impact on large contracts remains uncertain.
Both the U.S. and Europe have imposed significant sanctions and bans on Russian oil and certain commodities, particularly after 2022. However, some exceptions and indirect trade routes have persisted, leading India to argue that Western criticism is inconsistent since Western countries have also maintained varying levels of trade with Russia.