The United States has issued a stern warning to India, indicating the possibility of increased tariffs if New Delhi continues purchasing oil from Russia and if upcoming high-level discussions between Donald Trump and Vladimir Putin in Alaska fail. US Treasury Secretary Scott Bessent, in an interview with Bloomberg TV on Wednesday, suggested that Washington is prepared to escalate trade penalties against countries that continue economic engagements with Moscow, particularly regarding energy imports.

Bessent urged European allies and other nations to align with the US by imposing steeper tariffs on China and others who are buying Russian energy, emphasizing that the severity of sanctions depends on the outcome of the Trump-Putin meeting scheduled for Friday in Alaska. He added, “Sanctions can go up or can be loosened,” depending on diplomatic progress.

Referring specifically to India, Bessent stated that “secondary tariffs” have already been applied for its continued Russian oil imports and warned that further measures could follow if the peace talks falter. “If things don’t go well, then sanctions or secondary tariffs could go up,” he said, making it clear that India’s energy ties with Russia could attract more punitive actions.

This statement follows President Trump’s recent imposition of a 25% tariff on Indian goods and an additional 25% duty on purchases of Russian oil and weapons. The administration has accused India of “indirectly funding” Russia’s war in Ukraine by continuing to buy crude from Moscow, undermining the West’s sanctions strategy.

The proposed increase in tariffs is set to take effect from August 27, intensifying pressure on India to reconsider its energy policy. In response, Indian officials have defended their stance, stating that oil imports from Russia are dictated by global market dynamics and are essential for the country’s energy security—not a political endorsement of Russia’s actions in Ukraine.

The situation remains fluid as all eyes turn to the Alaska summit, where the geopolitical outcome may significantly impact India-US trade relations.