By Admin 
Washington has warned India that the secondary tariff may increase in terms of buying oil from Russia. US Treasury Secretary Scott Besant said that the decision will depend on the result of the meeting of President Donald Trump and Russia President Vladimir Putin on Friday in Alaska.
Russia-Ukraine War and America’s mediation
Besant told Bloomberg TV, “We have imposed secondary tariffs on Indians to buy oil from Russia. If things are not cured, ban or secondary tariffs can increase.” Earlier this month, Trump imposed an additional 25% tariff on India for buying oil and weapons from Russia. The US is trying to mediate to end the conflict between Russia and Ukraine and Trump on Wednesday warned that if the Moscow does not agree to the peace agreement, there will be “serious consequences”.
Trump-Putin meeting and European pressure
The Treasury Secretary said, “President Trump is meeting President Putin and European countries are telling what they should do. Europe should also join these restrictions and be ready to implement secondary restrictions.” This meeting to be held in Encourage on Friday will focus on measures to end the Russia-Ukraine war.
Impact on India-US trade relations
The increase in cheap Russian crude imports by Delhi after the Ukraine War has caused tension in Indo-US relations and disrupted the ongoing trade conversation with Washington. In 2024, the share of dandruff in India’s oil imports has reached 35% to 40%, which was only 3% in 2021.
India defended its import of dandruff oil, saying that it is necessary to buy the cheapest crude as a big energy importer so that Indians do not get the burden of rising prices.
Effect of business talks and tariffs
Besant told Fox Business on Tuesday that India has been “slightly stubborn” in trade talks. Trump says that his tariffs are part of a plan to strengthen the American economy and make global trade more fair. He has repeatedly called India to abuse tariffs and wants to reduce the trade deficit of $ 45 billion.
Commercial talks have been going on for months and the US dialogue team is expected to reach India on 25 August. Experts say that India’s refusal to reduce the fees on agriculture and dairy products is the biggest obstacle in the talks.
New 50% tariff rate will be applicable from August 27
Trump’s new 50% tariff rate on India is going to be implemented from August 27, about which some experts say that it is like a ban on trade between the two countries. This will make India the highest tax American trading partner in Asia and this is expected to have a serious impact on export-centered industries like textile and jewelery, and India’s growth rate may fall by up to half a percent.