A newly enacted American law has handed President Donald Trump sweeping authority to levy tariffs on countries that buy Russian petroleum, sending ripples of concern through India's policy corridors. The legislation, which sailed through both chambers of the US Congress with rare bipartisan backing, does not explicitly name India but is widely understood in diplomatic circles as a lever aimed squarely at New Delhi's substantial purchases of Russian crude.
India has increasingly turned to Moscow's discounted oil since Western sanctions were imposed after Russia's invasion of Ukraine in 2022. Russian supplies now account for roughly a third of India's total petroleum imports, significantly lowering the country's energy bills and helping contain inflation. Any disruption to this flow — whether through direct sanctions or secondary tariffs imposed by Washington — would hit India hard.
Under the new law, the US president can impose duties on any nation engaged in transactions involving Russian energy if he determines such deals undermine America's sanction regime. Legal experts note the statute gives the executive branch broad latitude, meaning even a threat of tariffs could force Indian refineries to reconsider their Russian supply contracts.
Indian officials are already exploring alternative sourcing strategies, strengthening ties with Middle Eastern suppliers such as Saudi Arabia and the UAE, while also looking toward Angola and Nigeria. However, those alternatives come at higher prices and cannot match the volume India currently imports from Russia.
Analysts say the law represents a significant shift in how Washington is willing to enforce its foreign policy economically, extending its reach beyond traditional allies and creating an unpredictable environment for global energy trade.
