Washington’s Double Standards? Donald Trump Hits India On Russian Oil Even As EU Buys 51% Of Russia’s LNG

India has reiterated that its oil sourcing decisions are guided by national interest and market dynamics, even as US President Donald Trump suggested that India may stop buying Russian oil, calling it “a good step” if true.

Responding to a question from ANI about potential penalties on India for importing Russian oil and whether he would speak with Prime Minister Narendra Modi, Trump said, “I understand that India is no longer going to be buying oil from Russia. That's what I heard. I don't know if that's right or not. That is a good step. We will see what happens.”

However, sources told ANI that Indian oil refiners continue to source crude from Russia based on price, grade, inventories, logistics, and other economic considerations.

India remains the world’s third-largest energy consumer, dependent on imports for nearly 85% of its crude oil needs, and has strategically diversified supplies to ensure affordable energy security while adhering to global norms.

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Russian Oil Supply and Price Caps

Russia, the world’s second-largest crude producer (9.5 mb/d), is also its second-largest exporter, shipping 4.5 mb/d of crude and 2.3 mb/d of refined products. Fears of Russian oil being pushed out of the market in 2022 drove Brent crude to $137 per barrel in March 2022, ANI sources noted.

While Russian oil itself is not sanctioned by the US or EU, Indian oil marketing companies (OMCs) have complied with the $60 per barrel price cap set by the US and have refrained from purchasing crude from sanctioned countries like Iran and Venezuela. Recently, the EU recommended a fresh price cap of $47.6 per barrel on Russian crude effective September.

MEA Clarifies India’s Position

During a weekly briefing, MEA spokesperson Randhir Jaiswal said India’s approach to energy sourcing remains unchanged. “You are aware of our broad approach to energy sourcing requirements, that we look at what is available in the market and the prevailing global situation. We are not aware of any specifics,” Jaiswal stated when asked about reports of some Indian oil firms pausing Russian imports.

ANI sources underscored that India’s energy strategy is based on economic logic while staying compliant with international rules. They also pointed out that during the same period, the EU was the largest buyer of Russian LNG (51% of exports), followed by China (21%) and Japan (18%), while pipeline gas purchases were led by the EU (37%).

Trade Tensions and Tariffs

The oil debate comes against the backdrop of rising trade tensions. On Wednesday, Trump announced a 25% tariff on Indian goods and penalties linked to Russian oil imports, even as discussions for an interim trade deal continued.

Trump criticised India’s high tariffs, saying, “India was one of the highest tariff nations in the world—100 points, 150 points, even 175 per cent. They sell a lot to us, but we don’t buy from them because the tariff is so high.”

Despite this, Trump referred to PM Modi as “a friend” and said talks were ongoing: “Now they’re willing to cut it very substantially. But we’ll see what happens. We’re talking to India now.”

In Parliament, the Indian government confirmed it is assessing the impact of US tariffs and penalties and will take steps to safeguard national interests.

India-US Ties Remain Steady

While differences over energy sourcing and tariffs persist, India expressed confidence in the trajectory of its relationship with Washington. “We remain focused on the substantive agenda both countries are committed to,” MEA said, signalling that strategic and economic cooperation between New Delhi and Washington will continue despite disagreements.