Navarro Slams India Over Discount Crude - Says 'Modi's War' Is Funding Russia's Military Effort In Ukraine

White House trade adviser Peter Navarro escalated criticism of India on Wednesday, accusing Prime Minister Narendra Modi of financing Russia's war in Ukraine through discounted oil purchases and dubbing the conflict“Modi's war.” 

His comments came hours after the Trump administration doubled tariffs on Indian goods to 50%, the highest reciprocal levies in Asia, affecting more than 55% of shipments to the U.S, though electronics and pharmaceuticals remain exempt, according to a Bloomberg report. 

Navarro said India's actions undermine U.S. workers, businesses, and taxpayers, while describing New Delhi's stance as“arrogant” and urging it to“act like the world's biggest democracy.” The trade adviser argued that cheaper Russian oil helps the Kremlin sustain its war while costing Americans jobs and income.

The tariff hike follows months of stalled negotiations, as India has objected to Washington's protectionist policies, particularly those affecting agriculture. 

Meanwhile, New Delhi has defended its continued Russian crude imports as necessary to contain domestic energy costs, calling U.S. measures“unfair, unjustified and unreasonable.”

Although Russia's oil exports are not sanctioned, with the U.S. and G7 previously endorsing purchases under a $60-per-barrel price cap,  India has become one of the largest buyers of seaborne Russian crude since 2022.

China remains Moscow's largest customer, though the Trump administration has maintained a softer approach toward Beijing as part of a broader trade truce.

Trump has pledged to end the war but has so far failed to bring Russian President Vladimir Putin and Ukrainian President Volodymyr Zelenskyy to the table, despite direct meetings with both leaders. 

He has warned of“very serious” consequences if peace efforts stall, though no new penalties have been imposed.

On Stocktwits, retail sentiment was reported as 'bullish' on the SPDR S & P 500 ETF Trust (SPY) and 'bearish' on the Invesco QQQ Trust (QQQ), both with 'normal' message volume, while sentiment on the iShares MSCI India ETF (INDA) was 'neutral' with 'high' message volume.

So far this year, SPY is up 11%, QQQ gained 12.5%, while INDA inched up 0.1%.

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