Trump's tariff threat over Russian oil puts China, India on alert
Donald Trump announced the possibility of imposing tariffs on countries purchasing Russian oil, which could affect China and India, reports "The Guardian." Indian refineries have already begun looking for new suppliers from regions such as the Middle East, the North Sea, and the Mediterranean.
Donald Trump is contemplating imposing tariffs ranging from 25% to 50% on countries buying Russian oil, which may impact China and India. According to "The Guardian," the US president expressed frustration with Vladimir Putin's actions and indicated that if no agreement is reached, sanctions could be implemented within a month.
China and India, which are not participating in the sanctions against Russia, may feel the effects of potential tariffs.
India as the largest importer
India has become the largest recipient of Russian oil transported by sea. In 2024, it accounted for 35% of India's total oil imports.
As Bloomberg notes, Indian refineries are already seeking supplies from the spot market, other than Russian ones. State-owned Bharat Petroleum Corp. and Hindustan Petroleum Corp. are anticipating additional deliveries in May from regions such as the Middle East, the North Sea, and the Mediterranean, according to agency sources.
According to data collected by LSEG Oil Research, India is set to import 1.52 million barrels of Russian oil per day in March. Replacing this supply would lead to a significant increase in India's oil import costs, states Reuters.
Will China resist?
According to the agency's analysis, China is less likely to succumb to US pressure.
Despite sanctions, the US remains the only major buyer of Iranian oil. They are still the largest importer of Russian oil, purchasing up to 1 million barrels daily on the maritime market, and somewhat less through pipelines, notes Reuters.
