US hints at possible rollback of 25% tariffs on India: Here’s what Scott Bessent says

US Treasury Secretary Scott Bessent signalled that Washington may reconsider the 25 per cent tariff on India over its Russian oil imports, claiming that New Delhi has sharply reduced such purchases in recent months.

The remarks come days after Scott Bessent, speaking on the sidelines of the World Economic Forum, claimed that New Delhi had scaled back its purchases shortly after the tariffs were announced. In a recent interview with foreign media outlet at the WEF in Davos, Bessent said that while the tariffs are still in force for now, the sharp decline in Indian refiners’ intake of Russian crude could potentially pave the way for their removal.

'There's a path to take them off': Bessent

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“I would imagine that there is a path to take them off,” Bessent said, describing the development as a success of the Trump administration’s tariff strategy.

The 25 per cent tariff was introduced by the Trump administration as a pressure tactic to discourage India from increasing its imports of discounted Russian crude following Moscow’s invasion of Ukraine. According to Bessent, Indian refiners had significantly ramped up Russian oil purchases after Western sanctions pushed prices lower. However, those imports have since fallen sharply.

“We put 25 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,” he claimed. He added that although the tariffs remain in force, the policy had “achieved its goal”.

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Europe ‘financed the war against itself’

Bessent also criticised European countries for what he described as hypocrisy in their approach to Russian oil, pointing out that Europe continued to buy refined fuel products made from Russian crude processed in Indian refineries.

“In the ultimate act of irony and stupidity, guess who was buying the refined products from the Indian refineries made from Russian oil? The Europeans,” he said. “They were financing the war against themselves.” He noted that before the Ukraine invasion, Russian oil accounted for just 2–3 per cent of India’s crude imports, but surged to the high teens after sanctions made Russian supplies cheaper.

Tariffs = foreign policy tool

The US Treasury Secretary underlined that tariffs under the Trump administration were being used not just as an economic instrument, but also as a foreign policy and national security tool.

“The tariffs are still on. The 25 per cent Russian oil tariffs are still on. I would imagine that there is a path to take them off,” Bessent said, reiterating that India’s reduced dependence on Russian oil strengthened the case for easing punitive measures.

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Relief for India amid broader trade talks

Bessent’s remarks may provide relief to New Delhi at a time when India and the US are engaged in broader trade and strategic discussions. While no timeline was indicated for lifting the tariffs, the comments suggest that Washington views India’s shift away from Russian crude as a meaningful policy response.

The remarks come as Washington debates a proposed Russia sanctions bill introduced by Republican Senator Lindsey Graham. The legislation would empower the US to levy tariffs of at least 500 per cent on countries that continue to buy Russian oil. Although the bill is still pending in the US Senate, Bessent said Trump already has sufficient authority under existing laws to take action.

“On the 500 per cent tariff on the buyers of Russian oil, that is a proposal that Senator Graham has in front of the Senate, and we will see whether that passes. We don’t believe that President Trump needs that authority, that he can do it under IEPA, but that the Senate wants to give him that authority,” he said.