US Allows India to Buy Russian Oil for 30 Days Amid Middle East War

The United States has granted India temporary permission to purchase Russian oil for 30 days after military tensions in the Middle East disrupted global oil supplies.

US Treasury Secretary Scott Bessent said in a post on the social media platform X that the decision was taken to maintain the flow of oil in global markets as the ongoing war with Iran has affected supply chains.

“This deliberate short-term measure will not provide significant economic benefit to the Russian government because it only allows transactions involving oil shipments already stranded at sea,” Bessent said.

Trump Previously Imposed Tariffs on Indian Imports

Earlier, US President Donald Trump had announced trade measures against India, accusing the country of continuing to purchase Russian crude oil despite repeated warnings from Washington. In late July, Trump declared a 25 percent tariff on goods imported from India and warned that an additional 25 percent duty would take effect from August.

Tariffs Reduced After Trump–Modi Phone Call

However, the US president later revised the decision after a phone conversation with Indian Prime Minister Narendra Modi. Following the discussion, Trump announced that the total 50 percent tariff imposed on Indian goods would be reduced to 18 percent. He also confirmed that the additional tariffs scheduled to take effect from the end of August had been removed.

According to the US administration, India agreed to gradually reduce its dependence on Russian oil, increase purchases from Venezuela, apply zero tariffs on certain American products, and expand imports from the United States to around $500 billion.

War With Iran Raises Supply Concerns

However, the situation changed after the United States entered into war with Iran last Saturday, raising concerns about disruptions to oil supplies from the Middle East. With the possibility of supply interruptions from Saudi Arabia and other Gulf countries, Washington decided to allow India to continue purchasing Russian oil for an additional 30 days.

The decision is expected to prevent an immediate oil shortage in India. Nepal, which imports petroleum products from India, is also unlikely to face supply disruptions.

Political Criticism Emerges in India

However, analysts say the decision may not provide political advantage for the Indian government. In recent months, India has faced criticism from opposition leaders who accuse Prime Minister Narendra Modi of abandoning the country’s traditional non-aligned foreign policy and moving closer to the United States.

Opposition figures have also argued that the decision shows the United States influencing India’s choices on where it purchases oil.