Donald Trump's fresh claim on talks with PM Modi and a 'massive tariff' warning

US President Donald Trump on Sunday repeated his claim that Prime Minister Narendra Modi has agreed to stop buying Russian oil, warning that if New Delhi fails to comply, “massive” US tariffs on Indian goods will remain in place.

“I spoke with Prime Minister Modi of India, and he said he’s not going to be doing the Russian oil thing,” Trump told reporters aboard Air Force One.

Trump’s latest remarks mark his second public assertion this month that Modi promised to end Russian crude purchases.

Trump had said Modi assured him that India would no longer buy Russian oil, calling it “a big step” in tightening pressure on Moscow over its war in Ukraine.

“He (Modi) is a friend of mine, we have a great relationship,” Trump said at Oval Office on Wednesday. “We were not happy with him buying oil from Russia because that let Russia continue on with this ridiculous war where they’ve lost a million and a half people. He assured me today that they will not be buying oil from Russia. That’s a big step. Now we’ve got to get China to do the same thing.”

New Delhi had denied any such conversation after Trump first made the claim earlier this week from the Oval Office.

Ministry of External Affairs said it was “not aware of any telephone conversation” between the two leaders on the day Trump said he had spoken to Modi.

When asked about India’s response, the US President said, “But if they want to say that, then they’ll just continue to pay massive tariffs, and they don’t want to do that.”

India is the world’s third-largest oil consumer and imports about 87% of its crude needs. Once a marginal buyer of Russian oil, New Delhi sharply increased purchases after Western sanctions on Moscow pushed Russian barrels to deep discounts.

In the fiscal year ending March 2024, Russia supplied roughly 40% of India’s total oil imports, up from less than 2% before the Ukraine invasion.

That made Moscow India’s largest oil source, ahead of Iraq and Saudi Arabia.

Traders and analysts say cutting off Russian oil would be difficult in the short term. Refiners typically lock in cargoes four to six weeks in advance, and deliveries from contracts already signed are expected to continue through November.

Data firm Kpler estimates India’s Russian oil imports could rise nearly 20% this month to about 1.9 million barrels per day, as Russia steps up exports following Ukrainian drone attacks on its refineries, The Indian Express reported.