Donald Trump follows through on tariff threat! 25% additional duty imposed on India for buying Russia crude oil; here’s what the US Prez order said
US President Donald Trump on Wednesday announced an additional 25 per cent tariff rate on India for its continued purchase of Russian crude oil. The tariff is scheduled to take effect in three weeks and will be imposed in addition to a separate 25 per cent duty taking effect this Thursday. Exemptions remain in place for products already covered under sector-specific tariffs, such as steel and aluminium, as well as sensitive categories like pharmaceuticals.“I find that the Government of India is currently directly or indirectly importing Russian Federation oil. Accordingly, and as consistent with applicable law, articles of India imported into the customs territory of the United States shall be subject to an additional ad valorem rate of duty of 25 percent. Subject to section 3 of this order, this rate of duty shall be effective with respect to goods entered for consumption, or withdrawn from warehouse for consumption, on or after 12:01 a.m. eastern daylight time 21 days after the date of this order, except for goods that (1) were loaded onto a vessel at the port of loading and in transit on the final mode of transit prior to entry into the United States before 12:01 a.m. eastern daylight time 21 days after the date of this order; and (2) are entered for consumption, or withdrawn from warehouse for consumption, before 12:01 a.m. eastern daylight time on September 17, 2025,” Trump’s executive order said.On Tuesday, Trump had said that he would ‘very substantially’ raise the tariff rate on India. In an interview with CNBC, Trump said, “They’re fuelling the war machine, and if they’re going to do that, then I’m not going to be happy.” “India has not been a good trading partner, because they do a lot of business with us, but we don’t do business with them. So we settled on 25% but I think I’m going to raise that very substantially over the next 24 hours, because they’re buying Russian oil,” he had said in the interview.Trump had dismissed India’s proposal of zero tariffs on American imports, expressing disapproval of India’s role in the Ukrainian conflict through its oil trade with Russia.In the interview Trump had criticised India’s existing tariff structure as very high. “Now, I will say this, India went from the highest tariffs ever. They will give us zero tariffs, and they’re going to let us go in. But that’s not good enough, because of what they’re doing with oil, not good.”
India’s stand on Russia crude oil trade
The US has been pressuring India to stop all crude oil trade with Russia, with the Donald Trump administration alleging that it amounts to India ‘financing’ Russia’s war against Ukraine.The foreign ministry has responded to Trump’s threats of penalties and higher tariffs by calling out the double standards and hypocrisy of the US and European Union.“It is revealing that the very nations criticising India are themselves indulging in trade with Russia (despite the Ukraine war),” read the MEA statement issued late on Monday.“…the targeting of India is unjustified and unreasonable. Like any major economy, India will take all necessary measures to safeguard its national interests and economic security,” the statement concluded.Despite Western pressure to reduce ties with Russia over the Ukraine conflict, India has maintained its position, citing historical relationships and economic necessities.
