Tuesday, 02 January 2024 12:17 GMT

Trump states Modi has approved to halt purchasing oil from Russia


(MENAFN) President Donald Trump stated that Indian Prime Minister Narendra Modi has agreed to stop buying Russian oil, as the US continues efforts to apply economic pressure on Moscow to end the conflict in Ukraine.

Trump told reporters he received assurances from Modi that India would halt its purchases "within a short period of time," which he described as "a big stop."

The US president has sought to leverage India’s Russian oil imports amid broader trade tensions, but New Delhi has so far resisted such pressure.

Responding to Trump’s remarks, an Indian government spokesperson said talks with the US administration were still "ongoing," noting Washington’s interest in expanding energy cooperation with India.

"Our consistent priority is to safeguard the interests of the Indian consumer in a volatile energy scenario. Our import policies are guided entirely by this objective," the spokesperson added.
Oil and gas constitute Russia’s largest exports, with major buyers including China, India, and Turkey.

"Now I've got to get China to do the same thing," Trump said in the Oval Office on Wednesday, highlighting his administration’s broader push to cut off Moscow’s energy revenues.

The Trump administration is also urging Japan to stop importing Russian oil and gas, with US Treasury Secretary Scott Bessent conveying this "expectation" to visiting Japanese Finance Minister Katsunobu Kato on Wednesday.

Trump acknowledged that India cannot "immediately" end oil shipments, saying the transition would be gradual but would conclude "soon."

The administration has imposed 50% tariffs on Indian goods, which Trump described as penalties for purchases of Russian oil and arms. These levies, effective since August, include a 25% penalty on transactions linked to Russia, a key funding source for its war in Ukraine.

For months, Modi has maintained a neutral stance on the Russia-Ukraine conflict, despite India’s ties with Russian President Vladimir Putin. Indian officials have criticized US accusations that Delhi profits from Russia’s war, citing similar trade activity between Russia and the US and Europe.

India continues to rely on discounted Russian crude to support its economy, the world’s fifth-largest.

The issue over Russian oil has created tension between Trump and Modi, though the US president referred to the Indian leader as a "great man" on Wednesday. Modi, meanwhile, said last week that he spoke with Trump and that they "reviewed good progress achieved in trade negotiations."

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