WASHINGTON, D.C. / NEW DELHI, January 5, 2026
U.S. President Donald Trump warned that the United States could quickly raise tariffs on India if New Delhi does not reduce purchases of Russian oil. Speaking aboard Air Force One while returning to Washington, Trump called Indian Prime Minister Narendra Modi a “good guy” who understands Washington’s concerns and the need to resolve issues for stronger bilateral relations.
Trump emphasized the U.S. ability to rapidly revise tariffs, noting that American trade with India allows for swift action if disagreements continue. The remarks follow last year’s doubling of import tariffs on Indian goods to 50% in response to India’s significant Russian oil purchases. Despite the tariffs, India’s exports to the U.S. rose notably in November 2025.
Indian officials remain firm, showing little willingness to compromise on demands such as agricultural imports, even as data suggests India’s Russian oil imports are declining. To address U.S. concerns, India now requires refiners to provide weekly disclosures of Russian and U.S. oil purchases, with expectations that Russian crude imports may fall below 1 million barrels per day in ongoing trade negotiations.
Prime Minister Modi has held at least three phone conversations with Trump since the tariffs were imposed, but no conclusive resolution has been reached. Last month, India’s Commerce Secretary Rajesh Agrawal met with U.S. Deputy Trade Representative Rick Switzer in Delhi to discuss bilateral trade issues. The Indian commerce ministry has not immediately commented on Trump’s latest warning.
