Will US roll back 25% tariffs on India? Here’s what Treasury Secy Scott Bessent said

US Treasury Secretary Scott Bessent said during an interview that the 25 per cent penalty imposed on India for its purchases of Russian oil may be rolled back. He said that India has significantly slashed Russian oil imports in recent months.

Bessent added that although the tariffs remain in place, the US could reconsider the punitive duties levied under Trump 2.0. “I would imagine there is a path to take them off,” he said in an interview with Politico.

He further explained that the 25 per cent tariff was imposed to discourage New Delhi from buying Russian oil after the Ukraine war. Bessent noted that Indian refiners had significantly increased purchases of discounted Russian crude, which have since "collapsed".

“We put twenty-five per cent tariffs on India for buying Russian oil, and the Indian purchases by their refineries of Russian oil have collapsed. So that is a success."

In August last year, Trump doubled the duties on Indian imports to 50 per cent due to India’s purchase of Russian energy products.

However, he is not the only one to claim that India has reduced its energy trade with Moscow. In November, Trump said that India has "largely stopped" purchasing Russian oil.

"They (trade talks with India) are going good, he stopped buying oil from Russia largely. He (PM Modi) is a friend of mine, and we speak, and he wants me to go there. We will figure that out, I will go..."

Moreover, Bessent’s remarks also hint at some headway in India–US trade deal talks. In stark contrast, US Commerce Secretary Howard Lutnick said in a podcast with Chamath Palihapitiya that a potential trade deal between the two nations could not materialise because Prime Minister Narendra Modi "didn't call" Donald Trump.

India, however, was quick to reject Lutnick’s assertions. Commenting on the claim, the Ministry of External Affairs (MEA) said that Lutnick’s description of events is "not accurate". MEA spokesperson Randhir Jaiswal said that New Delhi and Washington have held multiple rounds of negotiations since February 13 last year to arrive at a "balanced and mutually beneficial" trade agreement.