TL;DR : Top Trump aides say India and China are helping fund Russia's war in Ukraine by buying its oil. U.S. tariffs were raised to stop this. India disagrees, saying it needs affordable energy.
What Happened
- Scott Bessent, U.S. Treasury Secretary under President Trump, said in an October 9, 2025 Fox News interview:
- Bessent claimed U.S. tariffs on Indian goods, raised to 50%, aim to pressure India to stop buying Russian oil and shift toward U.S. oil. He predicted a "rebalancing" in coming weeks.
- Peter Navarro, Trump’s former trade adviser, previously called the war “Modi’s war” on August 27, 2025, blaming India and Prime Minister Modi for funding Russia’s war through oil trade.
“In terms of buying Russian oil, they are keeping the Russian war machine going.”He called India and China the “real culprits” and added the war “absolutely” wouldn’t have continued without their oil purchases.
“The road to peace runs... through New Delhi,” Navarro said on Bloomberg TV.
Background and Context
- India’s share of Russian oil imports jumped from less than 1% before 2022 to 35-42% in 2025 (1.73-2.1 million barrels/day). China buys 16%.
- India refines some of this oil and sells fuel to Europe and the U.S., reportedly earning $16 billion in extra profits, according to Bessent.
- The U.S. aims to redirect global energy trade toward American oil through tariffs and diplomatic pressure. A proposed 145% tariff on Chinese goods is currently on hold.
Reactions and Other Statements
- India’s Ministry of External Affairs rejected Navarro’s remarks as “inaccurate and misleading,” citing energy needs for 1.4 billion people.
- U.S. Energy Secretary Chris Wright said on September 2025:
- Trump praised Modi as a “great leader” in August but supported tariffs to pressure India over its Russian oil trade.
- Ukraine’s President Zelenskyy posted on October 6 that foreign components in Russian weapons, often from China and the U.S., are helping the war effort, backing calls for tighter sanctions.
“India buys Russian oil because it is cheaper... There are lots of oil exporters in the world.”
Economic Impact
- Russia earns $100-120 billion/year from oil despite sanctions.
- Experts say coordinated global tariffs could reduce Russia’s revenue by 10-20%, but could also raise global oil prices by 5-10%.