The US Slaps Fresh Tariffs on Indian Goods Over Russian Oil Links and the Prime Minister Narendra Modi vows to Shield Farmers, Entrepreneurs.
Washington has formally notified India of additional tariffs set to take effect from August 27, 2025, escalating trade tensions between the two countries.
The US Department of Homeland Security issued the notice on Tuesday, stating that the new duties are being imposed as part of measures responding to “threats to the United States by the government of the Russian Federation.” The order stems from Executive Order 14066, which bans imports of Russian-origin crude oil and petroleum products into the US.
According to the notification, the tariffs will cover a wide range of Indian products listed in the annex and will apply to any shipments arriving for domestic use or withdrawn from bonded warehouses after 12:01 am EDT on August 27.
Modi’s Defiant Stand
A day before the US announcement, Prime Minister Narendra Modi delivered a sharp message while addressing a rally in Ahmedabad. Stressing his commitment to small traders, farmers, and livestock keepers, Modi said:
“From this land of Gandhi, I assure my small entrepreneurs, shopkeepers, farmers, and animal husbandry brothers and sisters—your interests are paramount. My government will never allow any harm to come to you. No matter how much pressure we face, we will continue to strengthen ourselves.”
He linked the resistance to the broader Atmanirbhar Bharat (self-reliant India) campaign, noting that Gujarat’s two decades of development have been central to this push.
Rising Trade Friction
The announcement comes as former US President Donald Trump’s administration (returning to office) prepares to enforce 50% tariffs on Indian imports, including a punitive 25% surcharge tied to India’s discounted purchases of Russian crude oil.
Washington has accused New Delhi of indirectly funding Moscow’s war in Ukraine through these imports. India, however, has consistently dismissed the allegation, arguing that it buys energy wherever it finds the best terms—just as the US and European nations continue to do.
Jaishankar’s Sharp Response
Foreign Minister S. Jaishankar, speaking in Delhi on Saturday, criticized Washington’s position in pointed terms.
“It’s ironic for a pro-business American administration to accuse others of doing business,” he remarked. Adding a sharper jab, he said: “If you don’t like Indian oil or refined products, don’t buy them. Nobody is forcing you. But Europe buys, America buys. So if you have a problem, just stop buying.”
The exchange underscores a widening rift in Indo-US relations, with energy security, trade protectionism, and geopolitical alignments at the heart of the dispute.
