Peter Navarro, the US trade advisor, stated that India must make a strategic choice between halting imports of Russian oil and maintaining access to the American market. According to the official, the increase in Russian oil purchases by India undermines international efforts to isolate the economy of the Russian Federation, which is funding the war against Ukraine.
This is reported by Finway
Increase in Russian Oil Imports by India
Before the full-scale invasion of Ukraine by Russia in February 2022, the share of Russian oil in Indian imports did not exceed 1%. However, this figure has now risen to over 30%, amounting to more than 1.5 million barrels per day. A significant portion of this raw material is processed in India and exported, including to European countries.
“India’s dependence on Russian oil is a situational advantage that simultaneously undermines global efforts to isolate Putin’s war economy. In fact, India acts as a global intermediary for Russian oil, turning sanctioned raw materials into expensive exports and providing Moscow with the necessary dollars,” the publication states.
US Response and Impact on the Global Market
According to Navarro, the continued import of Russian oil by India is not a result of internal energy needs but is driven by the desire of oil companies to reap super profits from cheap raw materials. In light of this, the US has already imposed an additional 25% tariff on imports from India, which complements the existing “reciprocal” tariffs of the same size. The American side emphasizes that India is purchasing Russian oil using dollars earned through trade with the US, which creates additional risks for the economic stability of the West.
US Treasury Secretary Scott Bessent also criticized European governments for purchasing petroleum products from India if they are made from Russian raw materials. He urged European partners to more actively engage in strengthening sanctions pressure on the Russian Federation and to help reduce its revenues from energy exports.