India's Finance Minister Nirmala Sitharaman said the country will continue buying Russian oil.
India has maintained its position as the largest buyer of Russian seaborne crude in recent months. Discounted shipments have supported India, the world’s third-largest oil consumer, in managing its import expenses. Sitharaman emphasized that purchases will continue as long as they remain financially sustainable.
The statement comes amid increased trade tensions. The United States recently raised tariffs on Indian goods to 50%, one of the highest levels globally. Commerce Secretary Howard Lutnick reiterated in a Bloomberg TV interview that Washington expects India to stop Russian oil imports.
On Sept. 5, U.S. President Donald Trump wrote on Truth Social: “Looks like we’ve lost India and Russia to deepest, darkest, China. May they have a long and prosperous future together!” His remarks followed a trilateral meeting earlier in the week, where Indian Prime Minister Narendra Modi and Russian President Vladimir Putin met Chinese President Xi Jinping at the Shanghai Cooperation Organisation Summit in Tianjin. Discussions there covered cooperation in areas such as energy and security.
Regarding India’s ties with China, Sitharaman said meaningful dialogue is necessary to address market access and non-tariff issues. She added that developing a long-term trade partnership “will take time” and requires “sincere engagement” from both sides. She also indicated that New Delhi is considering easing investment restrictions on China as part of broader economic discussions.
When asked about White House adviser Peter Navarro’s description of India as a “laundromat” for Russian oil, Sitharaman responded: “The global diplomatic world is astonished that such kind of expression is being used for India.” She said that official diplomatic channels would handle such remarks.
The tariff increases will affect more than 55% of India’s exports to the U.S., its largest trading partner. According to Citigroup Inc., the new 50% duties could reduce India’s annual GDP growth by 0.6 to 0.8 percentage points.
Sitharaman noted that the government is working on measures to support businesses facing these challenges. “We can’t leave our exporters high and dry,” she said, adding that a relief package to mitigate the tariff burden is being prepared.
