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India holds firm on Russian Oil amid strained trade talks with US

India holds firm on Russian Oil amid strained trade talks with US

India has signaled that it will continue importing Russian crude despite mounting pressure from the United States, according to top government sources. As bilateral trade negotiations with Washington face turbulence, New Delhi is asserting its stance that Russian oil remains outside the scope of sanctions and offers a significant cost advantage.

Russian Oil Remains a Strategic Choice
A government source tracking the matter emphasized, “The Indian government may not stop buying oil from Russia as long as it is being offered at a good price. Also, Russian oil is not a sanctioned commodity, so there is no compulsion on India to stop.” The statement highlights India’s pragmatic approach to energy security, prioritizing economic considerations while navigating complex international pressures.

Exploring Alternative Partnerships
While maintaining its imports from Russia, India is also exploring opportunities to strengthen ties with other partners, including the BRICS grouping. The grouping has often been criticized by US President Donald Trump, yet India is reaffirming its commitment to multilateral cooperation. Simultaneously, New Delhi remains open to sourcing additional energy from the US, provided the pricing is viable. “India is definitely open to buying much more energy from the US as a sign of goodwill. But we do need to look at the costs involved as we have resource constraints,” the source added.

Trade Talks in Limbo
The impasse over Russian oil has created hurdles in the ongoing negotiations for an India-US Bilateral Trade Agreement (BTA). The US has linked tariffs on Indian goods to progress in resolving the oil issue, imposing steep 50 percent tariffs earlier this year. Commerce & Industry Minister Piyush Goyal met US Trade Representative Jamieson Greer in New York to push BTA negotiations forward, but a date for the next round remains undecided. Notably, Goyal did not meet US Commerce Secretary Howard Lutnick, who has recently warned that countries like India and Brazil “needed fixing” to maintain access to the American market.

India Reaffirms BRICS Ties
In parallel, External Affairs Minister S. Jaishankar convened a meeting of BRICS Foreign Ministers in New York, signaling India’s intent to preserve longstanding international alliances. “In a turbulent world, BRICS must reinforce the message of peacebuilding, dialogue, diplomacy and adherence to international law,” Jaishankar posted on X, reinforcing India’s commitment to multilateral diplomacy.

India’s careful balancing act between securing affordable energy and managing trade relations highlights the challenges of navigating global geopolitics, demonstrating a measured approach that prioritizes national interests while keeping multiple diplomatic channels open.

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