Russia oil imports 'point of irritation' in India-US ties, says Rubio

August 1, 2025

US Secretary of State Marco Rubio has identified India's relationship with Russia as a "point of irritation" in US-India relations, specifically citing India's significant oil imports from Russia. This statement follows President Trump's threat to impose 25% tariffs plus penalties on Indian goods due to purchases of Russian oil and weapons. While acknowledging India as an "ally" and "strategic partner," Rubio expressed frustration that India continues to buy Russian oil despite other suppliers being available, noting that these purchases are funding Russia's war in Ukraine.

Who is affected

India and its state-owned refineries (HPCL, BPCL, MRPL, IOCL)
"Millions of poor Indians" who would be impacted by rising energy costs
Russia's economy and war effort in Ukraine
US-India bilateral relationship

What action is being taken

President Trump is threatening to impose 25% tariffs plus unspecified penalties on Indian goods
Some Indian state-owned refineries have reportedly stopped importing Russian crude in the past week
India is widening its pool of oil suppliers from 27 to about 40 countries
Russia's Deputy Security Council Chairman Dmitry Medvedev is responding with apparent nuclear warnings referencing the "Dead Hand" system

Why it matters

India's Russian oil purchases have grown dramatically from 3% in 2021 to 35-40% in 2024
The US administration believes these purchases are funding Russia's war in Ukraine
The situation is creating tension in the US-India relationship despite India being considered an "ally" and "strategic partner"
The price differential between Russian Ural and Brent Crude has narrowed significantly to around $3 per barrel from an average of $20 per barrel in 2023

What's next

No explicit next steps stated in the article

Read full article from source: BBC