Oil sanctions: India faces another US-Russia balancing act
The Tribune Editorial: Now is the time to leverage a sanction mandate for securing a trade agreement with the US that is favourable to both countries.
THE substantial sanctions imposed by the United States on the two biggest suppliers of Russian oil, Rosneft and Lukoil, are set to limit India's import options and also potentially remove a major hurdle in sealing a trade deal with the US. President Donald Trump's announcement stems from the growing frustration over the stalled negotiations to end the Russia-Ukraine war. India has been the biggest buyer of discounted Russian crude in the aftermath of Moscow’s 2022 invasion of Ukraine. According to Washington, the oil companies are helping fund Kremlin’s war machine. Trump earlier imposed a 25 per cent punitive tariff on goods from India in retaliation for such imports. To New Delhi’s credit, it has been steadfast in resisting pressure to stop the purchase, saying its priority is to safeguard the interests of domestic consumers. India now faces another tightrope balancing act. If a calibrated reset is required, so be it.
