US Treasury Secretary Scott Bessent claims India stopped buying Russian oil following a 25% tariff imposed by the Trump administration.
The US is currently debating the Russia Sanctions Bill which proposes a 500% tariff on countries that continue to import Russian crude.
While India is cited as an example of compliance, the US remains critical of China and Europe.
US Treasury Secretary Scott Bessent has claimed that India has stopped buying Russian oil after President Donald Trump imposed a 25% tariff on Indian goods, as US considers far harsher penalties for countries that continue purchasing crude from Russia.
Speaking to Fox News and Fox Business on the sidelines of the World Economic Forum (WEF), Bessent said India had reduced its dependence on Russian oil following the tariff decision.
1 January 2026
Get the latest issue of Outlook Business
“India started buying Russian oil after the conflict (Russia-Ukraine war) began,” Bessent said in the interviews. “But President Trump put a 25% tariff on them, and India has geared down and has stopped buying Russian oil.”
Bessent’s remarks come as US lawmakers debate a proposed Russia Sanctions Bill which would allow US to impose tariffs of at least 500% on countries that continue importing Russian crude.
Although the bill is still pending in the US Senate, Bessent said the White House believes President Trump already has the authority to impose such measures under existing laws, including the International Emergency Economic Powers Act (IEPA).
“On the 500% tariff on the buyers of Russian oil, that is a proposal that Senator Lindsey Graham has in front of the Senate,” Bessent said, adding that Trump may not need additional approval from Congress to act.
While citing India as an example of compliance, Bessent was more critical of Europe and China. He said European countries were still buying Russian oil years after the Ukraine war began, arguing that such purchases were indirectly funding the conflict.
“We have Europe buying Russian oil, still, four years later,” Bessent said. “They are financing the war against themselves.”
China, one of Russia’s biggest energy customers, remains the main target of the proposed sanctions. US officials have repeatedly said China’s oil imports are helping finance Russia’s war in Ukraine.
Senator Graham earlier said the bill would give President Trump “tremendous leverage” over countries like China, India and Brazil, which he accused of helping fund what he called “Putin’s bloodbath against Ukraine.”
Notably, India has consistently defended its purchase of Russian oil, saying its decisions are driven by global market conditions and the need to ensure affordable energy for its population.
The Ministry of External Affairs (MEA) said it is aware of the proposed US legislation and is closely monitoring developments.
“We are fully aware of the proposed bill being discussed, and we are carefully monitoring all related issues and developments connected with it,” MEA spokesperson Randhir Jaiswal had said. He reiterated that India’s priority remains securing energy at reasonable prices.
Earlier this month, President Trump approved the 'Sanctioning of Russia Act 2025', aimed at increasing pressure on Russia over the Ukraine war. The proposed law would allow the US to impose tariffs of at least 500% on Russian goods imported into the country.
At the time, Graham said the timing of the legislation was deliberate, claiming Ukraine was making concessions for peace while Russia continued its military actions.
President Trump had also said that Prime Minister Narendra Modi was unhappy with US’ decision to impose tariffs of up to 50% on Indian goods.
“I have a very good relationship with PM Modi, but he is not happy with me as India is paying high tariffs,” Trump had said.
