India’s Oil Trade Strains and US Relations Under Scrutiny Amid Russian Supply Shifts
India faces escalating trade tensions with the US as Russian crude oil supplies dip below 1 million barrels per day for the first time in months. Prime Minister Narendra Modi's office has mandated weekly purchase disclosures, replacing monthly customs data—a MOVE signaling tighter control over energy trade metrics during fraught negotiations with Washington.
The TRUMP administration doubled tariffs on Indian goods to 50% last year following New Delhi's increased reliance on Russian oil. Bilateral trade talks collapsed in July 2025 over India's refusal to open agricultural markets and acknowledge Trump's role in mediating Pakistan border disputes. Despite resumed dialogue, India's continued Russian oil imports remain the primary obstacle in negotiations.
