India may hold off response to US tariffs pending details: Sources
The United States has announced 25% tariffs on goods imported from India starting August 1. However, sources have indicated that India is unlikely to “jump the gun” before more clarity emerges in what remains a dynamic situation.
Sources told CNBC-TV18 that there is still no confirmation on the exact penalties or associated duties until formal notifications are issued by the US government. For now, the sixth round of negotiations for the first tranche of a Bilateral Trade Agreement (BTA) between India and the US remains scheduled for August 25. Meanwhile, discussions on bilateral trade are expected to continue in virtual mode.
US President Donald Trump has also announced a “penalty” against India for its trade ties with Russia. Historically, India’s petroleum imports were largely sourced from the Middle East until March 2022, when purchases from Russia surged due to the availability of cheaper crude amid Western sanctions on Moscow following its invasion of Ukraine.
After China and the US, India is the third-largest importer of crude oil and has increased its imports from Russia significantly — from just 0.2% of its total crude basket before the war to around 40% now, making Russia India’s top supplier. According to data from Kpler, Russian crude accounted for 36% of India’s import basket in July 2025 at 1.78 million barrels per day (bpd), nearly double the 0.9 million bpd imported from Iraq and 2.5 times the 0.7 million bpd from Saudi Arabia, which now rank second and third in India’s crude import basket.
Sources told CNBC-TV18 that there is still no confirmation on the exact penalties or associated duties until formal notifications are issued by the US government. For now, the sixth round of negotiations for the first tranche of a Bilateral Trade Agreement (BTA) between India and the US remains scheduled for August 25. Meanwhile, discussions on bilateral trade are expected to continue in virtual mode.
US President Donald Trump has also announced a “penalty” against India for its trade ties with Russia. Historically, India’s petroleum imports were largely sourced from the Middle East until March 2022, when purchases from Russia surged due to the availability of cheaper crude amid Western sanctions on Moscow following its invasion of Ukraine.
After China and the US, India is the third-largest importer of crude oil and has increased its imports from Russia significantly — from just 0.2% of its total crude basket before the war to around 40% now, making Russia India’s top supplier. According to data from Kpler, Russian crude accounted for 36% of India’s import basket in July 2025 at 1.78 million barrels per day (bpd), nearly double the 0.9 million bpd imported from Iraq and 2.5 times the 0.7 million bpd from Saudi Arabia, which now rank second and third in India’s crude import basket.
(Edited by : Poonam Behura)
