WASHINGTON (Reuters)-United States Treasury Secretary Scott Bessent accused India on Tuesday of profiting from the sharp increase in his Russian oil purchases during the Ukraine war, saying that Washington considers the situation unacceptable.
Bessent said in an interview with CNBC that Russian oil now represents 42% of the total Indian oil purchases compared to less than 1% before the war, and compared it with China, whose Russian oil purchases increased from 13% to 16%.
“India is just profiting. They are reselling,” said Bessent. “What I would call Indian arbitration-buying cheap Russian oil and reselling it as a product came during the war-which is unacceptable,” he said.
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US President Donald Trump announced this month an additional 25% rate on Indian products as a punishment for Russian oil purchases by New Delhi, raising the total total rates announced to 50% since he took office.
Trump linked tariffs as a form of pressure on Russian President Vladimir Putin to agree to work for the end of the war in Ukraine, but did not impose rates similar to China because of his Russian oil purchases.
Bessent, asked about Trump’s failure to move forward with similar tariffs about China, said the situation is “completely different,” as Beijing is a longtime buyer and was not involved in the type of “arbitration” made by India.
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Relations between the US and India have been harmed by Trump’s fares after months of US President and other authorities that they were close to reaching an agreement with Prime Minister Narendra Modi’s government that would have reduced the tariff rate.
