U.S. Treasury Secretary Scott Bessent Urges Europe to Impose Tariffs on China and India Over Russian Oil Trade:

Madrid, September 16, 2025 — U.S. Treasury Secretary Scott Bessent has made it clear that the Trump administration will not move forward with additional tariffs on Chinese goods over Russian oil purchases unless European nations take coordinated action. In a joint interview with Reuters and Bloomberg on Monday, Bessent stated that Washington is calling on European countries to take a tougher stance against nations buying oil from Russia — particularly China and India — to cut off Moscow’s revenue stream fueling its war in Ukraine. “We expect the Europeans to do their share now, and we are not moving forward without the Europeans,” Bessent said, signaling that further U.S. action hinges on EU cooperation. The Biden-era sanctions on Russia have remained largely in place, but the Trump administration is pushing for deeper economic pressure. President Trump recently imposed a 25% tariff on Indian imports, citing New Delhi’s continued purchases of discounted Russian oil. According to Bessent, this move has already led to “substantial progress” in trade discussions with India. Another round of U.S.-India trade talks is scheduled for Tuesday, September 16, reflecting a recent thaw in relations between President Trump and Indian Prime Minister Narendra Modi. China Pushes Back In recent talks with Chinese officials in Madrid, Bessent raised concerns over China’s role in financing Russia’s war through its energy imports. However, Chinese representatives reportedly pushed back, asserting that oil purchases are a “sovereign matter” not subject to foreign interference. Bessent also criticized the “double standard” of some European nations that continue to buy refined petroleum products from India, which in turn sources crude oil from Russia at discounted rates. “They are helping finance a conflict in their own backyard,” he said, adding that the current loopholes are undermining efforts to isolate Moscow economically. Call for European Action Bessent emphasized that if European nations imposed significant secondary tariffs—between 50% and 100%—on countries purchasing Russian oil, the war in Ukraine could end within “60 to 90 days” by cutting off the Kremlin’s main revenue stream. “I guarantee you that if Europe put on substantial secondary tariffs on the buyers of Russian oil, the war would be over,” he said. Potential New Sanctions and Use of Frozen Assets The Treasury Secretary also indicated that the U.S. is open to working with European partners on broader sanctions targeting Russian energy giants like Rosneft and Lukoil. In addition, Bessent floated the idea of using a portion of the $300 billion in Russian sovereign assets frozen since the 2022 invasion of Ukraine. These funds could either be seized directly or placed into a special purpose vehicle (SPV) to serve as collateral for rebuilding Ukraine. The message from Washington is clear: stop-gap measures are no longer enough. With the war in Ukraine dragging into its fourth year, the U.S. wants allies to step up economic pressure—especially where it counts most: Russia’s oil revenues.

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