New Delhi, Sept. 18 -- India has cautioned the United States that a proposed sanctions bill targeting countries that continue to purchase Russian oil could have implications for bilateral relations as well as the global energy market.
The US House of Representatives has passed legislation that would give President Donald Trump the authority to impose tariffs of up to 100% on major buyers of Russian energy. India and China, among the biggest purchasers of Russian oil, could be affected if the measures are implemented. India's Ministry of External Affairs said New Delhi has already conveyed its concerns to Washington regarding the proposed measures. The government maintained that its priority is to safeguard the country's energy security while protecting its trade and economic interests.
India also pointed to the possible wider impact of such measures on global energy markets. Any disruption to major flows of Russian crude could affect supply, prices and the broader stability of international energy markets. The legislation comes as Washington seeks to increase economic pressure on Moscow over the Ukraine conflict. The bill targets countries continuing significant purchases of Russian oil and gas, with the proposed tariff mechanism intended to discourage such trade. For India, the issue is particularly significant because Russian crude has become an important component of its energy supplies. New Delhi has repeatedly maintained that its oil procurement decisions are driven by energy security, market conditions and the interests of Indian consumers.
The government said India will continue to source energy from multiple suppliers and take steps necessary to ensure adequate and affordable supplies for its population. It also indicated that discussions with US officials on the issue are continuing. The proposed US measures could also add pressure to India-US trade negotiations. The potential tariff threat comes at a time when both countries are seeking to strengthen economic ties and resolve outstanding trade issues. India has therefore stressed the need to assess the broader consequences of the sanctions legislation, particularly its potential effect on bilateral relations, energy security and global markets. The bill's passage by the House does not itself mean that a 100% tariff has been imposed on India. Its implementation would depend on the next stages of the US legislative and executive process and how the administration chooses to exercise the powers provided under the legislation.
Published by HT Digital Content Services with permission from Millennium Post.