US official says Trump, Modi will resolve tariff issue over Russian oil

Washington has moved to calm tensions over a potential 100% tariff on Indian goods, with a senior US official insisting that President Donald Trump and Prime Minister Narendra Modi share a rapport strong enough to resolve the standoff.

The threat, which surfaced amid India's continued purchases of Russian crude, has raised concerns in New Delhi about the future of bilateral trade. But the official, speaking on condition of anonymity, struck a reassuring note: the two leaders have good working relations and will work it out.

Tariff threat tied to Russian oil

The warning of a 100% tariff appeared to be aimed at deterring India from deepening energy ties with Moscow, which has faced sweeping Western sanctions since its invasion of Ukraine. India, however, has defended its oil imports as a matter of national energy security, pointing out that it buys from whoever offers the best price.

The US official's remarks suggest Washington is aware of India's position but wants to nudge it toward compliance. "They have good working relations and will work it out," the official said, according to reports from multiple outlets, including Hindustan Times and The Hindu.

Strategic autonomy under strain

The episode has reignited debate in Indian policy circles about the cost of strategic autonomy. An analysis by ORF Online argued that Washington's latest gambit on Russia is a test of India's ability to maintain independent foreign policy choices while deepening ties with the US.

Observers note that India has walked a tightrope since the war began, expanding trade with Russia while also building a robust defence and technology partnership with the United States. The tariff threat, if implemented, would hit Indian exports hard, affecting sectors from textiles to pharmaceuticals.

What the officials say

The White House official did not provide a timeline for resolution but indicated that direct talks between Trump and Modi could settle the matter. "It will be worked out," the official said, without elaborating on the mechanism or possible concessions.

Neither the White House nor the Indian external affairs ministry has officially confirmed the details of any negotiation. But the tone from Washington appears deliberately conciliatory, a shift from earlier rhetoric that had rattled markets and diplomats in New Delhi.

Broader implications

The standoff is not just about tariffs. It reflects a larger geopolitical squeeze, as the US seeks to isolate Russia economically while India refuses to sever ties with a long-standing partner. An NDTV commentary posed the question bluntly: is India turning into collateral damage in America's war on Russia?

For now, the official's statement offers a temporary reprieve, signalling that both sides prefer negotiation over escalation. But the underlying friction remains unresolved, and any deal could set a precedent for how Washington treats other nations that continue to trade with Moscow.

In the coming weeks, all eyes will be on whether Trump and Modi can translate their "good working relations" into a concrete agreement. The stakes are high, not just for tariffs, but for the future of India-US ties in a world split by the Russia-Ukraine conflict.