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Tariffs targeted at Putin, not to shape foreign relations: US Trade Representative Greer
US Trade Rep Greer noted India is diversifying energy sources away from Russia, while seeking to resolve trade tensions and respecting India's sovereignty.
US Trade Representative Jamieson Greer said India has already begun diversifying away from Russia as a source of energy, expressing optimism about resolving trade tensions while acknowledging New Delhi’s sovereignty over its foreign relations.
Speaking at the Economic Club of New York this week, Greer argued that Russian energy purchases were not “some bedrock part of the Indian economy” and suggested India could shift away from Moscow’s oil without major economic disruption.
“This is something we believe they can do and should do and frankly I can already see them starting to diversify. I think they get it,” Greer said, noting that India had only ramped up energy purchases from Russia after the Ukraine war began in 2022.
Greer emphasised that Washington was not seeking to dictate India’s foreign relationships, while maintaining pressure over the specific issue of Russian energy purchases that the Trump administration argues funds Moscow’s war effort.
“Obviously they are a sovereign country. They are going to control their decisions. President Trump is focused on this quite discrete issue of ending the Russia-Ukraine war. We’re not trying to dictate to other countries who they can have relations with and who they can’t,” Greer said.
“But we are trying to make sure that Vladimir Putin feels as much pressure as possible,” he added, acknowledging India’s “strong relations” with Russia.
The trade representative described India as being “pragmatic” on trade questions, noting that New Delhi and Washington have been negotiating since the beginning of the Trump administration.
Greer, a key player in trade talks with India, met with commerce minister Piyush Goyal in September on the sidelines of the UN General Assembly as both sides work to resolve the 50% tariff dispute.
A senior state department official said Greer, along with secretary of state Marco Rubio, is closely engaging with India to persuade New Delhi to reduce Russian energy purchases.
According to US officials, who asked not to be named, a resolution of trade issues is expected in the coming weeks. Sergio Gor, likely to become the next US Ambassador to India, hinted last month that both sides could work out a deal, telling senators that negotiations had reached the “nitty gritty” stage.
India faces a 50% tariff rate—among the highest in the world—affecting key export sectors including textiles, gems and jewellery, shrimp and seafood. The tariff comprises a 25% reciprocal levy and an additional 25% penalty specifically for Russian oil purchases.
US-India goods and services trade stood at $212.3 billion in 2024, according to the Office of the US Trade Representative. India maintains a trade surplus of roughly $40-45 billion in the relationship, which the Trump administration seeks to reduce.
