White House trade adviser Peter Navarro has urged India to halt its purchases of Russian crude oil, warning that the imports are funding Moscow’s war in Ukraine. Navarro accused New Delhi of strengthening ties with Russia and China, raising concerns about the security of US military technology transfers.
India’s Role in Russian Oil Trade
In an opinion piece for the Financial Times, Navarro said India acts as a “global clearinghouse for Russian oil,” converting embargoed crude into high-value exports and providing Moscow with much-needed dollars.
He called India’s dependence on Russian oil opportunistic and harmful to international efforts aimed at isolating Putin’s war economy.
India is the second-largest buyer of Russian oil, after China. Over 30 percent of India’s fuel imports come from Russia, providing significant revenue to the Kremlin despite Western sanctions.
US Pressure on India
Earlier this month, US President Donald Trump imposed 50 percent tariffs on Indian goods, escalating tensions over India’s Russian oil imports.
Navarro emphasized that India’s energy purchases undermine its status as a strategic partner of the United States.
“If India wants to be treated as a strategic US partner, it must start acting like one,” he wrote, highlighting the risks of transferring advanced US military capabilities amid India’s growing ties with China and Russia.
Stephen Miller, Trump’s deputy chief of staff, echoed the criticism, calling India’s purchases of Russian crude “not acceptable”.
India’s Position
India’s Ministry of External Affairs said the country is being unfairly singled out, noting that the US and EU continue to buy energy and goods from Russia.
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EU-Russia trade in 2024: €67.5 billion ($77.9bn), down from €257.5 billion ($297.4bn) in 2021.
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EU gas imports from Russia since February 2022: $105.6bn, roughly 75% of Russia’s 2024 military budget.
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US-Russia trade in 2024: $5.2bn, down from $36bn in 2021.
India stresses that its energy imports are comparatively modest and should not be singled out.
India-US Relations and Trade Talks
India maintains strong ties with Russia, sourcing most of its defense equipment, including the S-400 missile defense system. At the same time, New Delhi has been cultivating a strategic partnership with the US, with annual bilateral trade reaching $128 billion.
However, recent US actions, including high tariffs and pressure over oil imports, appear to have pushed India closer to China, with upcoming high-level visits planned:
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PM Narendra Modi to travel to China later this month.
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Chinese Foreign Minister Wang Yi visiting India for border talks.
Meanwhile, a planned visit by US trade negotiators to India from August 25–29 has been postponed, delaying discussions on a proposed free trade agreement.
Key Takeaways
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US warns India that continuing Russian oil purchases risks its strategic partnership.
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India is the second-largest buyer of Russian crude, contributing to Moscow’s war revenue.
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Tensions rise over tariffs, trade talks, and India’s growing ties with Russia and China.
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India claims it is unfairly targeted while the US and EU maintain trade with Russia.