In a statement on TruthSocial, Trump criticized India for buying large amounts of Russian oil and reselling it on the open market for profit. He accused Indian authorities of not caring about the lives lost due to Russian military actions in Ukraine.
Trump linked India's oil trade to the ongoing Russian aggression, calling it part of the "Russian war machine." As a result, Trump confirmed that he would substantially increase the tariffs that India pays to the United States. He did not provide specific figures or dates for the new tariffs.
When U.S. President Donald Trump announced a 25% tariff on India on July 30, the price of BTC plummeted. This announcement comes amid tensions over global oil supply and ongoing Western sanctions on Russian energy exports.
India has faced criticism from several Western leaders for increasing its oil imports from Russia since the start of the war in Ukraine. The United States has previously avoided taking direct economic retaliation against India for its energy policy.
Trump's new tariff threat indicates a shift that could erode the trade relationship between the United States and India. India is a rapidly growing economy and an important trading partner for the United States.
Products that could be affected by the increased tariffs include pharmaceuticals and textiles. The cryptocurrency market rebounded after Trump announced that he would soon announce a Federal Reserve governor who supports interest rate cuts. However, the market is now down following the latest events.