US President Donald Trump on Monday again warned of imposing additional tariffs on India over its purchases of Russian crude oil, saying trade measures could be raised quickly if Washington’s concerns are not addressed, LiveMint reported, citing official statements.
Speaking to reporters on January 5, Trump said the US could increase tariffs on India if it does not “help on the Russian oil issue”. At the same time, he struck a conciliatory note, describing Prime Minister Narendra Modi as “a very good man” and suggesting that New Delhi was keen to address his concerns.
In remarks captured in audio released by the White House, Trump said he could “quickly” raise tariffs if India’s Russian oil imports continued to be an issue. US Senator Lindsey Graham, who was present during the interaction, said India was already engaging with Washington on the matter. He added that Indian officials had conveyed their efforts to reduce Russian oil purchases and sought relief from existing tariffs.Trump has previously said that the US imposed tariffs of up to 50 per cent on Indian goods, including a component that he described as a penalty for buying Russian crude. India currently faces among the highest US tariffs, with duties rising in stages last year.
Despite the tensions, India and the US are working towards a bilateral trade agreement, with the first tranche expected to be finalised soon.
The tariff threats come amid signs of stress in bilateral trade. According to an analysis by the Global Trade Research Initiative (GTRI), India’s exports to the US declined for the fourth consecutive month, falling 37.5 per cent from $8.8 billion to $5.5 billion between May and September 2025.
Exports of products that previously attracted zero tariffs fell sharply, with sectors such as smartphones and pharmaceuticals among the hardest hit. Other segments, including industrial metals, auto parts, textiles, gems and jewellery, chemicals and agri-foods, also recorded significant declines during the period, the analysis showed.
