India Should Continue Buying Russian Oil

The message from India should be clear: it’s willing to work with the US where interests align, but won’t alter strategic decisions out of fear of tariffs.

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By Ajay Srivastava

Ajay Srivastava, founder of Global Trade Research Initiative, is an ex-Indian Trade Service officer with expertise in WTO and FTA negotiations.

July 17, 2025 at 6:12 AM IST

NATO Secretary General Mark Rutte’s warning to India, China, and Brazil on business deals with Russia is both excessive and inappropriate. Telling leaders in Delhi, Beijing, and Brasília to “make the call” to Russian President or face massive consequences smacks of neo-colonial arrogance. 

Rutte’s warning was issued a day after US President Donald Trump on July 14 proposed 100% tariffs on Russian oil buyers. Rutte said these countries could face harsh secondary sanctions, including 100% tariffs, if they kept doing business with Russia without pressuring Putin to start peace talks.

NATO, a military alliance, now appears to be acting like an economic enforcer, threatening sovereign nations for pursuing their own interests. 

Worse, these remarks came just one day after Trump proposed the same 100% tariffs on Russian oil buyers, suggesting a coordinated effort to pressure the Global South. 

India must reject this pressure and stay firm on its Russia strategy. Buying discounted Russian oil has helped India manage inflation and maintain economic stability in a volatile global environment. 

Altering that policy won’t stop US threats, it will only invite more. This isn’t an isolated demand—Trump regularly issues tariff threats for various reasons. 

He has already proposed a 10% tariff on all BRICS exports and imposed a 50% tariff on Brazil, partly for pressuring platform X to remove content. India, which files many such takedown requests, knows it could be targeted next. More such tariffs could follow.

Given this pattern, India sees no value in giving in to US pressure on Russian oil. It won’t resolve the larger issue of future unpredictable US demands. 

Even a trade deal with Washington won’t guarantee protection, as Trump could shift the goalposts later. His approach makes long-term agreements uncertain.

India should keep buying Russian oil as long as it helps contain energy costs. On the war in Ukraine, India has stayed neutral and should not change that stance due to U.S. threats.

The message from India should be clear: it’s willing to work with the US where interests align, but won’t alter strategic decisions out of fear of tariffs.