Trump Slaps India With Additional 25% In Tariffs Over Russian Energy Trade

Just as he warned yesterday, President Trump signed an executive order imposing an additional 25% tariff on India over its purchase of Russian energy, the White House said Wednesday hours after talks between the US and Russia over the war in Ukraine failed to yield a breakthrough.

The accelerated tariffs – which will stack on top of 25% country-specific tariffs set to be implemented overnight – will go into effect within 21 days, according to the executive order signed by Trump.

“They’re fueling the war machine. And if they’re going to do that, then I’m not going to be happy,” Trump said Tuesday in an interview with CNBC.

This rhetoric was escalated in the initial paragraphs of the Executive Order:

Executive Order 14066 of March 8, 2022 (Prohibiting Certain Imports and New Investments With Respect to Continued Russian Federation Efforts To Undermine the Sovereignty and Territorial Integrity of Ukraine), expanded the scope of the national emergency declared in Executive Order 14024 of April 15, 2021 (Blocking Property With Respect To Specified Harmful Foreign Activities of the Government of the Russian Federation), to include the actions taken against Ukraine by the Government of the Russian Federation.  To address that unusual and extraordinary threat to the national security and foreign policy of the United States, Executive Order 14066 prohibited, among other things, the importation into the United States of certain products of Russian Federation origin, including crude oil; petroleum; and petroleum fuels, oils, and products of their distillation.

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To deal with the national emergency described in Executive Order 14066, I determine that it is necessary and appropriate to impose an additional ad valorem duty on imports of articles of India, which is directly or indirectly importing Russian Federation oil.  In my judgment, imposing tariffs, as described below, in addition to maintaining the other measures taken to address the national emergency described in Executive Order 14066, will more effectively deal with the national emergency described in Executive Order 14066. 

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Accordingly, and as consistent with applicable law, articles of India imported into the customs territory of the United States shall be subject to an additional ad valorem rate of duty of 25 percent.  

The reaction was immediate extended selling pressure in India ETF…

The Rupee is weakening…

Oil’s price action was more volatile…

Read the full Executive Order here:

NEW: President Donald J. Trump just signed an Executive Order imposing an additional 25% tariff on India in response to its continued purchase of Russian oil.

Here is the text of the Order:

By the authority vested in me as President by the Constitution and the laws of the…

— Rapid Response 47 (@RapidResponse47) August 6, 2025