 (6).png)
2 hours ago
1
ARTICLE AD BOX
India's Commerce Minister stated that the trade deal with the US is unaffected by Russian oil imports. However, Indian refiners are avoiding Russian oil, aligning with US interests, while a Trump executive order threatens 25% tariffs if imports resume.
India's Commerce Minister Piyush Goyal has once again pushed the ball into the Ministry of External Affairs' court when asked about the negotiations on Russian oil as part of the India-US bilateral trade agreement.
When asked in an interview by ANI, "if there is a lack of bilateral consensus on Russian oil or on defence matters, doesn't that impact the trade deal?", Goyal answered with a simple "No".
When further quizzed on how this can be possible, Goyal said, "...The buying of crude oil or LNG, LPG from the US is in India's own strategic interests as we diversify our oil sources. But the decisions are taken by the buyers, by the companies themselves. So, the trade deal doesn't discuss who will buy what and from where. The trade deal ensures that the pathway to trade is smooth, ensures preferential access. FTAs are all about preferential access to your competition. So, today when we got an 18% reciprocal tariff, we have a preference over other developing nations who are usually our competition..."
Indian refiners avoid Russian oil: Report
Indian refiners are avoiding Russian oil purchases for delivery in April and are expected to stay away from such trades for longer, refining and trade sources told Reuters, a move that could help New Delhi seal a trade pact with Washington.
The US and India moved closer to a trade pact on Friday, announcing a framework for a deal they hope to conclude by March that would lower tariffs and deepen economic cooperation.
Indian Oil, Bharat Petroleum and Reliance Industries are not accepting offers from traders for Russian oil loading in March and April, said a trader who approached the refiners, as per Reuters.
These refiners, however, had already scheduled some deliveries of Russian oil in March, refining sources said. Most other refiners have stopped buying Russian crude.
The three refiners and the oil ministry did not respond to requests for comment, Reuters reported. The trade minister on Saturday referred questions about Russian oil to the foreign ministry.
A foreign ministry spokesperson said: "Diversifying our energy sourcing in keeping with objective market conditions and evolving international dynamics is at the core of our strategy" to ensure energy security for the world's most-populous nation.
What Trump's order says
Although a US-India statement on the trade framework did not mention Russian oil, President Donald Trump rescinded his 25% tariffs on Indian goods, imposed over Russian oil purchases, because, he said, New Delhi had "committed to stop directly or indirectly" importing Russian oil.
His executive order, titled, ‘Modifying Duties to Address Threats to the United States by the Government of the Russian Federation’, said, "India has committed to stop directly or indirectly importing Russian Federation oil, has represented that it will purchase United States energy products from the United States, and has recently committed to a framework with the United States to expand defense cooperation over the next 10 years."
The order clearly states that 25% tariffs will be slapped on India once again “if the (US) Secretary of Commerce finds that India has resumed directly or indirectly importing Russian Federation oil”.
New Delhi has not announced plans to halt Russian oil imports.
With agency inputs
English (US) ·