Economy
The US seeks to make India's purchase of Russian crude oil a topic in trade negotiations.

The US has urged India to include its purchases of Russian oil in trade negotiations, Bloomberg reported, even as Indian refiners continue to increase imports to meet rising domestic demand. A delegation led by Assistant Trade Representative Brendan Lynch raised the issue during a meeting with Indian negotiators on Tuesday, an unusual move since a country’s dealings with a third nation are rarely discussed in bilateral trade talks.
Earlier in the week, US officials visited New Delhi for discussions aimed at easing tensions after President Donald Trump imposed a 50 percent tariff on India, one of the steepest in Asia. Relations appeared to improve slightly after Trump called Prime Minister Narendra Modi on his birthday, creating cautious optimism in New Delhi about a potential trade agreement.
During the Tuesday meeting, India requested the removal of the additional 25 percent tariff on its Russian energy imports, calling the levy “unfair, unjustified and unreasonable” and emphasizing that buying Russian oil is essential for energy security. Indian refiners have no plans to cut Russian crude imports, especially as domestic fuel demand rises after the monsoon, and the government has issued no instructions to curb these purchases. Following the discussions, both sides described the talks as positive, covering multiple aspects of the trade deal, and agreed to intensify efforts to reach an agreement. The US and India had initially aimed to finalize a bilateral trade deal by autumn, but negotiations stalled as both sides took firmer positions. Washington is also pushing for greater access to India’s dairy and agricultural sectors, which New Delhi has been reluctant to open.
President Trump defended the 50 percent tariffs, insisting that his relationship with Modi remains strong despite the move. Speaking alongside UK Prime Minister Keir Starmer at Chequers, Trump said he is very close to India and maintains a good rapport with Modi, noting that he had recently called to wish him a happy birthday. Trump explained that half of the tariff is intended to discourage India from buying Russian oil, which he believes would lower global oil prices and pressure Moscow to withdraw from the war in Ukraine. If the price of oil comes down, Putin will have no choice but to drop out of that war. Despite the tariffs, India’s imports of Russian crude have remained steady.