The full weight of President Donald Trump’s 50% tariffs on Indian imports is now a reality, with the final duties having taken effect yesterday. The punitive measure, a direct response to India’s oil trade with Russia, stands in stark contrast to the administration’s own ongoing energy negotiations with Moscow.
As of Wednesday, August 27, an additional 25% duty was applied to Indian goods, bringing the total tariff to the 50% level threatened by President Trump. This move is expected to impact billions of dollars in trade and has created significant uncertainty for Indian exporters who rely on the American market.
In a parallel diplomatic track, US and Russian officials are exploring a significant warming of energy ties. Discussions have centered on allowing American oil giant Exxon Mobil to re-enter Russia’s Sakhalin-1 project, a venture it abandoned in 2022 following the Ukraine invasion.
This dual policy—punishing an ally while wooing an adversary over the same issue—is reportedly driven by a White House strategy to incentivize Russia toward peace talks in Ukraine. The stark contrast in approach has nevertheless raised serious questions about the fairness and consistency of American foreign economic policy.