Indian Prime Minister Narendra Modi has taken a defiant stance in response to US President Donald Trump's threats to impose tariffs, urging the country to buy local goods, while his administration has made it clear that it will continue to purchase Russian oil, UNN reports with reference to Bloomberg.
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Modi's government has not given Indian refiners instructions to stop buying Russian oil, and a decision to suspend purchases has not yet been made, Bloomberg sources said. Both state and private refiners are free to buy oil from the best suppliers, and oil purchases remain a commercial decision, some sources noted.
Over the weekend, Modi emphasized the importance of protecting India's economic interests amid global uncertainty. These statements came just days after the Trump administration imposed 25% tariffs on Indian exports to the US. The White House also threatens to take additional measures if India continues to buy Russian oil.
"The global economy is experiencing a lot of anxieties - an atmosphere of instability prevails," Modi said at a rally in the northern state of Uttar Pradesh on Saturday. - "Now, whatever we buy, there should be only one scale: we will buy what was created by the sweat of an Indian."
India has become one of Trump's main targets as he seeks to pressure Kremlin leader Vladimir Putin to end the war in Ukraine. Last week, the US president lashed out at India, criticizing it for joining the BRICS group of developing countries and maintaining close ties with Russia, saying that "they can collapse their dead economies together."
This rebuke marked a stunning shift in tone for the US, which for years had ignored India's close historical ties with Russia, viewing the country as a counterweight to China in Asia. Now, Trump appears ready to abandon this strategy to gain leverage over Putin, who has resisted the US president's efforts to end hostilities in Ukraine.
Last week, Trump told reporters that he had "heard" that India would no longer buy oil from Russia, calling it a "good step." Bloomberg reported last week that refiners had been instructed to develop plans for non-Russian oil purchases, but one source said that this order was only for scenario planning in case Russian oil was unavailable.
India will continue to buy Russian oil despite Trump's threats - NYT02.08.25, 12:38 • [views_5586]
The publication notes that although China is Russia's main economic and diplomatic sponsor, Trump's ability to pressure the world's second-largest economy is limited due to Beijing's control over rare earth magnets, which the US needs to produce high-tech goods. In recent months, the US and China have held talks aimed at stabilizing relations after both countries significantly increased tariffs on each other's goods by more than 100% earlier this year.
India defends its relationship with Russia, one of its largest arms suppliers, dating back to the Cold War. Indian Foreign Ministry spokesman Randhir Jaiswal told reporters on Friday that there is a "stable and time-tested partnership" between the two countries.
"Our bilateral relations with various countries are independent and should not be viewed through the prism of a third country," Jaiswal said. When asked about relations with the US, he added that he was "confident that these relations will continue to develop."
India expects US trade negotiators to visit the country by the end of the month for further talks on a bilateral agreement, an official in New Delhi said on Friday. The country will stand its ground and will not give the US access to its dairy and agricultural sectors, the official said, citing political and religious sensitivities.
Modi's renewed emphasis on domestic production and consumption echoes his long-standing "Made in India" initiative. However, this message has gained new relevance after the introduction of US tariffs, the publication writes.
"The interests of our farmers, our small businesses, and the employment of our youth are paramount," Modi said at the rally on Saturday.
Russian oil tankers stuck off India's coast - Bloomberg01.08.25, 11:22 • [views_4390]