As the war in Ukraine enters another year, US President Donald Trump signaled that he is now willing to support sweeping sanctions on countries that continue trading with Russia a list that includes India. Speaking to reporters in Florida on Sunday, Trump said Republican lawmakers are preparing legislation that would impose strict penalties on any nation conducting business with Moscow, especially those purchasing Russian energy.
“The Republicans are putting in legislation that is very tough sanctioning, etcetera on any country doing business with Russia,” Trump told reporters before departing Florida. He reiterated his long-held view that Russia’s trading partners are indirectly enabling the war in Ukraine and contributing to Moscow’s economic strength.
India and China two of Russia’s largest buyers of crude oil were specifically mentioned as countries “fuelling” Russia’s war economy. Trump has repeatedly described both nations as “primary funders” of the Ukraine conflict. Although China has so far avoided major repercussions, Trump imposed a 25% “penalty tariff” on India earlier this year, raising total duties to 50% in August.
Trump also indicated he may add Iran to the list of countries facing potential sanctions for continued engagement with Russia.
Even as he contemplates new punitive measures, the US President on Friday rolled back tariffs on more than 20 food items, including beef, in response to rising grocery prices. The tariff relief is expected to help Indian exporters of tea, coffee, spices and cashew nuts sectors hit hard when the US doubled duties earlier this year, unlike exporters from the EU and Vietnam who escaped the worst of the tariff hikes.
Despite US pressure, India Russia trade continues to grow. On Sunday, New Delhi and Moscow reaffirmed their target of achieving $100 billion in bilateral trade by 2030, and reviewed progress on the proposed India Eurasian Economic Union (EAEU) free trade agreement. The discussion focused on supply-chain resilience, regulatory predictability and balanced growth, according to India’s commerce ministry.
What the New Bill Could Mean
According to Bloomberg, the draft legislation would give Trump the authority to impose tariffs of up to 500% on imports from any country that buys Russian energy and does not support Ukraine. Analysts say such a move could significantly disrupt global trade flows and escalate economic tensions with several US partners.
Trump had previously resisted backing such a bill, hoping instead to negotiate a peace agreement with Russian President Vladimir Putin. But after those efforts failed, he is now considering aggressive economic measures as a way to pressure Moscow.
With global stakes high and major economies deeply intertwined with Russian energy, Trump’s new stance could reshape geopolitical and economic alignments in the months ahead.
