India-U.S. Trade Deal Hits Oil Crossroads: Trump’s 18% Tariffs And Russia Split Debate

India-U.S. Trade Deal Hits Oil Crossroads: Trump’s 18% Tariffs And Russia Split Debate

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Siddharth Zarabi
  • Updated Feb 5, 2026 12:22 PM IST

India and the United States have agreed to reduce tariffs on Indian exports to 18% after an intense trade standoff, but a dramatic claim about stopping Russian oil imports clouds the celebration. President Trump says Prime Minister Modi agreed to shift away from Russian crude — a move that unlocked tariff relief — yet Indian officials have offered no formal confirmation on halting purchases. Data shows Indian imports of Russian oil have dipped but not disappeared, and energy markets say full disengagement remains elusive. With Russia dismissing U.S. claims and India balancing energy security, this deal may reshape global crude flows — but the real story lies in the geopolitical complexities beneath the headlines.

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