US Treasury Secretary Expresses Confidence in Resolving Trade Tensions with India, Criticizes India-Russia Oil Ties

Washington, D.C. | September 2, 2025 — U.S. Treasury Secretary Scott Bessent expressed optimism about resolving ongoing trade frictions with India, calling the United States and India "two great countries" that would ultimately "get this solved." Speaking to Fox News from Martin’s Tavern in Washington, Bessent downplayed the significance of Prime Minister Narendra Modi's recent meetings with Russian President Vladimir Putin and Chinese President Xi Jinping at the Shanghai Cooperation Organisation (SCO) summit in Tianjin. “This is a longstanding meeting — it’s called the Shanghai Cooperation Organization — and I think it’s largely performative,” Bessent said. “At the end of the day, India is the most populous democracy in the world. Their values are much closer to ours than to China’s or Russia’s.” However, Bessent did not shy away from criticizing India’s deepening energy ties with Moscow. He raised concerns over India’s continued purchase of discounted Russian oil — a practice Washington argues is helping to finance Russia's ongoing war in Ukraine. “The Indians have not been great actors in terms of buying Russian oil and then reselling it, effectively financing the Russian war effort in Ukraine,” Bessent said. Still, he reiterated confidence in the long-term U.S.-India relationship. Bessent also confirmed that President Donald Trump is weighing additional sanctions on Russia in response to its latest attacks on Ukrainian cities. A recent missile and drone assault on Kyiv killed at least 17 people, including four children. “Everything’s on the table,” Bessent said. “President Putin, despite multiple overtures for peace, has escalated attacks. His response has been despicable.” Trump Blasts India’s Trade Policies President Trump also weighed in, criticizing India’s trade practices in a social media post. He called the U.S.-India trade relationship “totally one-sided” and slammed New Delhi for what he described as “the highest tariffs in the world.” India has rejected those claims, arguing that its tariffs are in place to protect its agricultural sector and ensure energy security, especially amid global instability. Meanwhile, senior Trump officials have taken a harsher tone. Trade adviser Peter Navarro accused Indian refiners of turning the country into a “massive refining hub and oil money laundromat for the Kremlin.” He went on to claim that “Brahmins [are] profiteering at the expense of the Indian people.” Despite these criticisms, Navarro described Prime Minister Modi as a “great leader,” but warned that India’s continued engagement with Putin and Xi could undermine its global democratic image. In a move signaling rising tensions, the Trump administration has already imposed retaliatory tariffs — including a 25% duty on Indian goods and an additional 25% on oil imports linked to Russia. The combined 50% levy is now among the highest in the world.

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