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After Trump's 500% tariff threat, US Treasury Secretary's message to India on Russian oil purchase
On India, the Treasury Secretary said the New Delhi stopped buying Russian energy after the Trump administration imposed 25 per cent tariffs.
United States Treasury Secretary Scott Bessent on Tuesday said President Donald Trump does need an authority from the Senate to impose 500 per cent tariffs on countries purchasing Russian oil. However, the apparent tariff threat was directed at China, unlike India this time.
On India, the Treasury Secretary claimed that New Delhi has stopped buying Russian oil after the Trump administration imposed 25 per cent tariffs.
Bessent was referring to the Russia Sanctions Bill allows the US to impose at least 500 per cent tariff on countries purchasing Russian oil. US President Donald Trump has greenlit the bill earlier this month.
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“On the 500% tariff on the buyers of Russian oil, that is a proposal that Senator Graham has in front of the Senate and we will see whether that passes. We don't believe that President Trump needs that authority, that he can do it under IEPA, but that the Senate wants to give him that authority,” Bessent said in an interview.
The White House official blamed Europe for buying Russian oil, even as he said that New Delhi has “stopped buying” Russian oil.
“We have Europe buying Russian oil, still, four years later, they are financing the war against themselves. India started buying Russian oil after the conflict began, but President Trump put a 25% tariff on them, and India has geared down and has stopped buying Russian oil,” he said.
Also Read: ‘Fully aware, closely monitoring’: MEA on US' 500% tariffs bill on India for buying Russian oil
He also hit out at China, one of the top buyers of Russia oil. The US, for long, has been planning to impose up to 500% tariffs on China for the purchase of Russian oil.
On January 8, US Senator Lindsey Graham, while making the details of the bill public, said that the proposed legislation would give President Trump “tremendous leverage against countries like China, India and Brazil to incentivize them to stop buying the cheap Russian oil that provides the financing for Putin’s bloodbath against Ukraine.”
In October last year, Bessent said, “85 US senators are willing to give President Trump the authority to put up to 500% tariffs on China for the purchase of Russian oil.”
What has India said on 500% tariff bill
While speaking of the US bipartisan Russia Sanctions Bill, the Ministry of External Affairs has said that India was aware of the proposed bill and is carefully monitoring all related issues.
“We are fully aware of the proposed bill being discussed, and we are carefully monitoring all related issues and developments connected with it," MEA spokesperson Randhir Jaiswal said.
India has reiterated its approach when it comes to energy sources and maintained that it takes into account the conditions and environment in the global market.
Jaiswal, while speaking on the issue, said India remains guided by the imperative of securing energy at “affordable prices” for its 1.4 billion people.
