US Signals Further Sanctions on Russia, Potentially Targeting India's Oil Imports
US President Donald Trump has indicated readiness to escalate sanctions against Russia, a move that could affect nations purchasing Russian oil. While specifics are undisclosed, the measures could include secondary tariffs, posing significant economic and diplomatic challenges for India, a major buyer of Russian crude. Ukrainian President Volodymyr Zelenskyy has publicly supported the idea of imposing such tariffs on countries dealing with Russia, describing it as the "right idea," further intensifying the geopolitical pressure on New Delhi.
Unpacked:
Secondary tariffs are penalties imposed on third countries that trade with a sanctioned nation—in this case, Russia. For India, new U.S. tariffs mean most Indian goods exported to the U.S. will face an extra 25% duty, compounding existing tariffs and significantly raising export costs, potentially hurting India’s economy and straining U.S.-India trade relations.
India relies on imports for over 80% of its oil needs, and Russian crude has been sold at a discount since Western sanctions began. In early 2025, Russia supplied India with about 35–40% of its crude imports, making Russia India’s largest oil supplier and a vital partner for its energy security.
India could reduce Russian oil imports, which would increase its own and global oil costs, or keep buying Russian oil and face steep U.S. tariffs on half its exports. Negotiations are planned and India might seek exemptions or increase purchases of U.S. oil as a concession.
Ukrainian President Zelenskyy has publicly endorsed the idea, calling it the 'right idea.' Ukraine believes broader sanctions—especially on countries purchasing Russian oil—will intensify economic pressure on Russia and potentially hasten an end to the conflict.[summary]