Putin's Big Backing for India as Trump Sanctions Russian Oil Purchases; 'Moscow Will Import If...'
In a rapidly escalating trade war, U.S. President Donald Trump’s recent imposition of tariffs on India for its continued purchase of Russian oil has sparked tensions, placing Indian Prime Minister Narendra Modi in a delicate geopolitical position. Amid these pressures, Russian President Vladimir Putin has extended strong support to India, emphasizing the sovereignty of nations to choose their trade partners and signaling Moscow’s willingness to deepen economic ties with New Delhi. This blog explores Putin’s backing, the context of Trump’s sanctions, and the implications for India’s energy strategy and global trade dynamics.
The Context: Trump’s Tariff Threats
Since Russia’s invasion of Ukraine in February 2022, India has significantly increased its imports of Russian crude oil, taking advantage of steep discounts as Western nations imposed sanctions on Moscow. By 2023, Russia had become India’s top oil supplier, accounting for approximately 35-40% of its crude imports, up from less than 1% before the conflict. This shift has saved India billions in energy costs while stabilizing global oil prices by absorbing discounted Russian crude.
However, Trump’s administration has taken a hardline stance, aiming to pressure Russia into a ceasefire in Ukraine. In early August 2025, Trump imposed a 25% tariff on Indian goods, with an additional 25% penalty set to take effect on August 27, citing India’s oil trade with Russia as fueling Moscow’s “war machine.” Trump has also threatened secondary tariffs of up to 100% on countries continuing to buy Russian oil unless a peace deal is reached by August 8, a deadline that has since passed without resolution.
India has pushed back, calling the tariffs “unjustified and unreasonable” and arguing that its purchases have prevented global oil price spikes that could have exceeded $137 per barrel, benefiting the global economy, including the U.S. and Europe. New Delhi has also highlighted the hypocrisy of Western nations, noting that the U.S. traded $3.5 billion worth of goods with Russia in 2024, and Europe continues to import Russian gas.
Putin’s Support for India
Amid this trade row, Putin has voiced strong support for India’s position. During a visit by India’s National Security Adviser Ajit Doval to Moscow on August 6, 2025, Russian officials emphasized that “sovereign countries must have, and do have, the right to choose their trade partners” independently, free from external pressures. This statement was a direct rebuke to Trump’s tariffs and a reaffirmation of Russia’s commitment to its strategic partnership with India.
Putin’s backing goes beyond rhetoric. Russian officials have signaled that Moscow is ready to bolster trade ties with India, particularly in response to U.S. tariffs. A Russian embassy official in New Delhi stated, “If Indian goods cannot go to the U.S. market, they can head to Russia,” highlighting Moscow’s willingness to absorb Indian exports impacted by the 50% U.S. tariffs. This offer aligns with plans for an upcoming summit between Putin and Modi in New Delhi later in 2025, where both leaders aim to enhance payment systems and remove trade barriers to strengthen bilateral commerce.
India’s Energy Strategy and Economic Stakes
India, the world’s third-largest oil importer, relies on imports for nearly 85% of its crude oil needs, consuming about 5.2 million barrels per day. Russian oil, purchased below the G7-EU price cap of $47.6 per barrel, has been a cost-effective option for Indian refiners, with discounts recently narrowing to about $3 per barrel compared to Brent crude. Major refiners like Reliance Industries and Nayara Energy, which process over 50% of India’s Russian crude, have benefited from this arrangement, exporting refined products to Europe and the U.S., ironically fueling Western markets.
Ceasing Russian oil imports would cost India an estimated $9-12 billion annually, as Middle Eastern suppliers like Iraq and Saudi Arabia, India’s traditional sources, offer less favorable terms. Switching suppliers would also require reconfiguring refineries, though modern facilities like Reliance’s in Gujarat are adaptable to different crude grades. Additionally, a global boycott of Russian oil could trigger a 10% surge in crude prices, impacting consumers worldwide, including in the U.S.
Moscow’s Strategic Calculations
For Russia, India’s role as a major buyer is critical. With exports to Europe curtailed, India and China account for the bulk of Russia’s oil sales, with India importing about 1.7-2 million barrels per day. Losing India as a client would force Moscow to store oil on tankers, incur higher shipping costs, or cut production, further straining its economy, which is already grappling with a 33.7% drop in oil and gas revenue in June 2025 compared to the previous year.
Putin’s support for India is also strategic. By aligning with New Delhi, Moscow aims to counter U.S. pressure and maintain its economic lifeline. Russia’s offer to import Indian goods affected by U.S. tariffs is a pragmatic move to deepen ties, building on decades of cooperation in defense, energy, and technology. The upcoming Modi-Putin summit is expected to focus on these areas, alongside discussions on Russia’s recognition of the Taliban in Afghanistan and the delivery of S-400 missile systems to India.
Implications for India and Global Trade
India faces a complex dilemma. Complying with Trump’s demands risks economic disruption and higher energy costs, while defying them could escalate tariffs to 100%, severely impacting key export sectors like textiles, gems, and auto parts. India’s foreign ministry has emphasized that its oil purchases comply with international norms and the G7 price cap, and it has accused the West of double standards, given Europe’s continued reliance on Russian gas.
Putin’s backing strengthens India’s resolve to maintain its energy strategy, but it also complicates its relationship with the U.S., a key trading partner. Posts on X reflect Indian sentiment, with users arguing that India is not a “U.S. colony” and will not bow to pressure, while others suggest targeting Russia’s shadow fleet of tankers would be a more effective sanction than penalizing India.
Conclusion
Putin’s vocal support for India amid Trump’s sanctions underscores the enduring India-Russia partnership and the complexities of global trade in a geopolitically charged environment. By offering to absorb Indian exports and reinforcing India’s right to choose its trade partners, Moscow is positioning itself as a reliable ally against Western pressure. For India, the challenge lies in balancing economic pragmatism with diplomatic navigation, maintaining its strategic autonomy while managing relations with both the U.S. and Russia. As the Modi-Putin summit approaches, the world will be watching how India leverages this support to safeguard its interests in an increasingly polarized global order.
