US Senior Counsellor for Trade and Manufacturing Peter Navarro has expressed confidence that Prime Minister Narendra Modi and US President Donald Trump will resolve differences surrounding the proposed 100 per cent tariff linked to India’s purchases of Russian oil, pointing to the strong working relationship between the two leaders. Navarro’s comments come amid concerns in India over US legislation targeting countries that continue significant energy trade with Russia.
Speaking about India-US ties, Navarro said Modi and Trump shared a “very good working relationship” and indicated that the two leaders were capable of finding a way through the tariff dispute.
The issue centres on legislation that could expose major purchasers of Russian energy, including India, to steep US tariffs. The US Senate recently passed a bipartisan Russia sanctions bill by an 86-11 vote that could allow Trump to impose tariffs of up to 100 per cent on goods from countries among the five largest importers of Russian oil and gas.
India and China are among the countries that could be affected because of their substantial purchases of Russian energy.
Navarro emphasised the broader importance of the India-US relationship while discussing the tariff issue, signalling that Washington expects differences over Russian oil to be addressed through engagement between the two governments.
His remarks suggested that the proposed tariff need not derail the wider strategic relationship between New Delhi and Washington.
The two countries have developed extensive cooperation across trade, defence, technology and strategic affairs, even as differences periodically emerge over economic and geopolitical issues.
India’s continued purchases of Russian crude have emerged as a significant point of discussion in Washington as the Trump administration seeks to intensify economic pressure on Moscow.
The sanctions legislation is intended to increase pressure on countries conducting substantial business with Russia and Iran, with tariffs being considered among the measures available to Washington.
New Delhi has consistently maintained that its energy purchases are guided by national interests, affordability and the need to ensure energy security for its population.
The proposed 100 per cent tariff provision has nevertheless raised concerns about its possible implications for India-US trade if it is applied to Indian goods.
Navarro’s comments indicate that senior officials in Washington expect political engagement at the highest level to play a role in resolving the dispute.
Rather than portraying the Russian oil issue as an insurmountable obstacle in bilateral relations, he expressed confidence that Modi and Trump would be able to work through it.
The remarks come at a sensitive moment for India-US economic ties, with the potential tariff adding another dimension to discussions between New Delhi and Washington over trade and strategic cooperation.