India has warned that new U.S. legislation targeting countries that purchase Russian energy could have consequences for relations between New Delhi and Washington, while stressing that it will take necessary measures to protect its trade, economic and energy interests.
The warning came after the U.S. House of Representatives approved legislation on Wednesday aimed at increasing economic pressure on Russia over its war in Ukraine. The bill targets Russia’s energy and defence sectors, senior officials and Moscow’s so-called “shadow fleet” of tankers used to move energy exports despite Western sanctions. It would also give U.S. President Donald Trump authority to impose tariffs of up to 100 per cent on major purchasers of Russian oil and gas.
Responding on Thursday, India’s Ministry of External Affairs said New Delhi remains firmly committed to securing energy supplies for its population of 1.4 billion people. The ministry said India would continue pursuing diversified energy sources while adjusting its purchases according to changing global market conditions.
New Delhi said the issue has already been discussed at senior levels with several U.S. officials in recent months. According to the ministry, India has clearly communicated the potential consequences of the legislation not only for India-U.S. relations but also for the wider international energy market.
India also signalled that it was prepared to defend its economic interests if the measures affect its trade. The government said it would work closely with Indian trade and industry organizations to assess the legislation and respond to its potential implications. New Delhi has not announced specific retaliatory measures.
The legislation does not automatically impose a 100 per cent tariff on Indian goods. Instead, it would provide the U.S. president with authority to impose tariffs of up to that level on major importers that continue purchasing Russian energy under conditions established by the legislation. The measure has cleared Congress and is awaiting presidential action.
The dispute adds another potential point of friction between India and the United States as the two countries work toward a bilateral trade agreement. India’s purchases of Russian crude have remained a sensitive issue in relations with Washington, while New Delhi has consistently framed its energy procurement decisions around affordability, supply security and domestic requirements.
The Indian government has stopped short of announcing that it will reduce or end Russian oil purchases in response to the U.S. legislation. Instead, its latest statement emphasizes diversified sourcing and market conditions, while leaving New Delhi’s future purchasing decisions open.
For New Delhi, the immediate focus remains on monitoring how Washington implements the legislation. India has made clear that energy security for its 1.4 billion people will remain a priority while warning U.S. officials that measures affecting its energy imports could carry broader consequences for trade and bilateral relations.
