Trump’s Tariff Threats Target Russian Oil Buyers in China and India

Donald Trump has threatened hefty tariffs on buyers of Russian oil, particularly targeting China and India, should there be delays in Ukraine ceasefire negotiations. Mr. Trump expressed his frustration towards Russia’s actions, indicating up to 50% tariffs on oil purchases. Experts have questioned the feasibility of tracking such sales and enforcing sanctions effectively.

Donald Trump has threatened to impose substantial secondary sanctions on all purchasers of Russian oil if he perceives any deliberate delays in achieving a ceasefire agreement in Ukraine by Vladimir Putin. Expressing his frustration, Mr. Trump indicated he is ‘very angry’ about Russia’s stance on the conflict.

He proposed a tariff ranging from 25 to 50 percent on all Russian oil, emphasizing that this action would be contingent upon Russia’s involvement in prolonging the war. China and India stand to be the most affected nations, as they have emerged as the primary buyers of discounted Russian oil since the onset of the Ukraine conflict.

Currently, limited sanctions on Russian oil have succeeded in curtailing some funding to Putin’s regime. However, a complete cessation of trade poses significant risks to the global oil market. Mr. Trump’s remarks signify a dramatic shift in his diplomatic approach towards Russia as he embarks on his second term.

“If Russia and I are unable to make a deal on stopping the bloodshed in Ukraine, and if I think it was Russia’s fault … I am going to put secondary tariffs on oil,” Mr. Trump stated. He articulated that engaging in oil purchases from Russia would hinder one’s ability to conduct business in the United States.

Former senior Commerce Department official, William Reinsch, raised concerns regarding the clarity of Trump’s tariff announcements, laboring to delineate how U.S. officials might trace and substantiate oil purchases from Russia. Notably, India has outpaced China becoming the largest buyer of seaborne Russian crude, constituting approximately 35 percent of its crude imports in 2024.

In summary, Donald Trump’s threats to impose significant tariffs on Russian oil buyers highlight potential economic ramifications for China and India, who are currently the largest purchasers of Russian oil. His recent statements suggest a stark shift in attitude towards Russia amidst ongoing tensions in Ukraine. Furthermore, the implementation of these tariffs raises questions related to enforcement and traceability.

Original Source: www.independent.co.uk