Trump Threatens 500% Tariff on Countries Importing Oil from Russia

• US President Donald Trump endorses a Bill proposing a 500% tariff on countries importing oil from Russia, potentially disrupting India’s crude oil supplies.

• India’s crude oil purchases from Russia have increased from less than 2% of total imports in 2022 to as high as 40% in recent years.

• Oil Minister Hardeep Singh Puri clarified that Russian oil was never under global sanctions and India was buying discounted oil under a price cap.

• Any disruption of the Russia oil trade could jeopardize India’s energy security, lead to a higher import bill, and possibly a higher current account deficit (CAD).

• The proposed Bill is an optional one, and Trump is looking at it very strongly.