Trump Warns India Over Russian Oil; Says He Can Raise Tariffs “Very Quickly”

New Delhi, january 05, 2026: In a fresh warning that could strain the delicate trade balance between Washington and New Delhi, U.S. President Donald Trump has signaled a potential hike in tariffs on Indian imports. Speaking to reporters aboard Air Force One on January 4, 2026, Trump emphasized that Prime Minister Narendra Modi is fully aware of his dissatisfaction regarding India’s ongoing purchases of Russian oil.

“Modi is a very good man; he is a good guy,” Trump remarked during the press gaggle. “He knew I was not happy, and it was important to make me happy. They do trade, and we can raise tariffs on them very quickly. It would be very bad for them.”

The “Price” of Russian Oil

The President’s comments follow a series of aggressive trade maneuvers aimed at isolating Moscow. In August 2025, the Trump administration doubled import tariffs on a wide range of Indian goods—including textiles, gems, jewelry, and electronics—to 50%. Officials described the move as a “penalty” for India’s continued role as a major buyer of discounted Russian seaborne crude.

U.S. Senator Lindsey Graham, who accompanied Trump on the flight, credited these existing tariffs as the “chief reason” India has recently begun to scale back its Russian energy intake. Graham is currently pushing a bill that could see levies soar to 500% for countries that continue to fund the Russian “war machine” through energy trade.

India’s Strategic Balancing Act

Despite the pressure from Washington, New Delhi has consistently defended its energy policy as a matter of national interest and energy security.

• Internal Data: Recent reports suggest India has asked refiners for weekly disclosures of Russian and U.S. oil purchases to provide “verified figures” during trade talks.
• Import Shifts: While India’s Russian oil imports hit a six-month high in late 2025, the country has also ramped up its purchase of American oil, which reached a seven-month high in November.
• Economic Impact: Trade analysts warn that further tariff hikes could be devastating. Current duties have already caused Indian exports to the U.S. to slump by nearly 37% in certain sectors, threatening hundreds of thousands of jobs in labor-intensive industries.

What Lies Ahead?

The timing of Trump’s warning is significant, coming just as both nations were attempting to finalize a new Bilateral Trade Agreement (BTA). While Trump maintains a warm personal rapport with PM Modi—often calling him a “friend”—he has made it clear that personal chemistry will not supersede his “America First” trade agenda.

As the 47th President continues to use tariffs as a primary tool of foreign policy, the ball is now in New Delhi’s court. Indian negotiators face the difficult task of protecting domestic energy needs without losing access to their largest export market.