Sitharaman Rejects U.S. Warning, Confirms India Will Keep Buying Russian Oil

Despite U.S. President Donald Trump’s new tariffs and warnings of further sanctions, India asserts it will continue buying Russian oil to safeguard its economic and energy needs.

New Delhi, September 6 – Union Finance Minister Nirmala Sitharaman on Friday made it clear that India will continue importing Russian oil, stressing that the country’s decisions are based solely on national interest and not external pressure.

“Whether it is Russian oil or anything else, we will take a call based on what suits our needs in terms of rates, logistics, or other factors. Oil is one of the biggest contributors to our import bill, and we will buy from wherever it benefits us the most. So, undoubtedly, we will continue buying Russian oil,” Sitharaman said in an interview with News18.

Her remarks come at a time when U.S. President Donald Trump has accused India of indirectly funding Russia’s war in Ukraine through oil purchases. Trump recently imposed a 50 percent import tariff on Indian goods, effective August 27, and warned that this was only “Phase-1.” He signaled the possibility of “Phase-2” and “Phase-3” tariffs targeting countries that continue trade relations with Russia.

Calling India the second-largest buyer of Russian oil after China, Trump indicated that New Delhi could face harsher penalties if it does not scale back imports from Moscow. He described these tariffs as a direct economic blow to Russia, claiming that such measures “cost hundreds of billions of dollars” to Moscow.

When asked why he has not directly acted against Russia since taking office in January, Trump said his approach was to use secondary sanctions against nations dealing with Moscow — with India clearly in the spotlight.

Sitharaman, however, stood firm on India’s position. She underlined that crude oil is a critical component of India’s foreign exchange expenditure and said the government will not compromise on securing affordable energy for its people.

Addressing concerns of Indian industries hit by the steep U.S. tariffs, the Finance Minister assured support.
“With reforms like GST, many tariff concerns will be offset. We are preparing a package of measures to help industries cope with the impact of these tariffs. Something is definitely coming to handhold those who are affected,” she said.

The standoff underscores a deepening friction between Washington and New Delhi, as India balances its strategic autonomy with global economic pressures. For now, New Delhi has sent a strong signal — energy security will take precedence over geopolitical pressure.