United States President Donald Trump signaled potential new tariffs on India during remarks to reporters aboard Air Force One, citing New Delhi's persistent imports of discounted Russian crude oil despite U.S. pressure. Praising Prime Minister Narendra Modi as "a very good man" and "a good guy," Trump stated that Modi "knew I was not happy" and emphasized the need to "make me happy," adding that tariffs could be raised "very quickly" given the significant bilateral trade volume.
The comments revive tensions from 2025, when the Trump administration imposed a 25 percent reciprocal tariff on various Indian goods—such as textiles, apparel, gems, jewelry, carpets, furniture, and seafood—plus an additional 25 percent penalty explicitly tied to Russian oil purchases, elevating combined duties to 50 percent in affected categories. This escalation strained U.S.-India relations, as India became the largest buyer of Russian seaborne crude post-2022 Ukraine invasion, prioritizing energy security amid discounted prices.
Trump's warning follows a recent telephone conversation between the leaders, where both reiterated commitments to advancing bilateral trade momentum amid the impasse. Negotiations restarted concurrently but have stalled, with Washington demanding reduced barriers on American agricultural products while India upholds protections for its farming and dairy sectors to safeguard domestic livelihoods.
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Days prior to the call, Trump had separately threatened tariffs on Indian rice exports after complaints of market dumping during a White House roundtable, questioning any exemptions and asserting that "tariffs solve the problem in two minutes." India's Ministry of Commerce data shows Russian oil imports hit a six-month high of 7.7 million tonnes in November 2025—up 7 percent year-over-year—though U.S. crude purchases also reached a seven-month peak, reflecting a diversification strategy amid sanctions and market dynamics.
As India directs refiners to submit weekly Russian and U.S. oil import data for verified reporting—aimed at bolstering transparency in talks—the administration views tariffs as leverage to curb Moscow's war funding. New Delhi maintains no formal pledges to halt Russian purchases, balancing geopolitical autonomy with economic imperatives in ongoing high-stakes diplomacy.
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