Washington/New York, Aug 29 (PTI) – Following his claim that the Ukraine conflict is "Modi's war," former White House trade adviser Peter Navarro has accused India of acting as an "oil money laundromat for the Kremlin." Navarro, who served as Senior Counsellor for Trade and Manufacturing during the Trump administration, criticized India's oil purchases from Russia and its high trade tariffs in an extended post on X.
The 50% tariffs imposed by the Trump administration on India went into effect on Wednesday. Navarro explained that the tariffs – 25% for unfair trade practices and 25% for national security concerns – were a direct response to India's actions.
He accused India's Big Oil lobby of transforming the nation into a significant refining hub and a financial conduit for Kremlin's oil money. According to Navarro, Indian refiners purchase cheap Russian oil, refine it, and export fuels to regions such as Europe, Africa, and Asia.
Navarro claimed that India now exports over a million barrels of refined petroleum daily, which is over half the volume of Russian crude it imports. The financial gains, he alleged, benefit India's politically connected energy magnates and, indirectly, Russia's war efforts in Ukraine.
He urged India, deemed the world's largest democracy, to behave like a strategic partner if it wishes to maintain that status with the U.S. Navarro criticized Indian tariffs for limiting U.S. exports while American consumers continue to purchase Indian goods.
He expressed that the proceeds from U.S. purchases fund India's import of discounted Russian crude, and the refined oil is sold internationally for hefty profits, with Russia receiving hard currency to finance its war.
Before the Russian invasion of Ukraine, Russian oil contributed to less than 1% of India's imports, Navarro stated, whereas now it comprises over 30%, amounting to more than 1.5 million barrels per day.
Navarro argued that this increase is driven by profit rather than domestic demand, with fatal consequences for Ukraine.
While the U.S. invests resources in arming Ukraine, Navarro accused India of bolstering Russia's economy, imposing high tariffs on U.S. goods, and exacerbating a $50 billion trade deficit with the U.S. by purchasing Russian oil.
He called out India for continuing to buy Russian weapons and simultaneously demanding that U.S. firms transfer sensitive military technology and establish facilities within India – labeling this as "strategic freeloading."
According to Navarro, the Biden administration largely ignored this situation, whereas Trump directly confronted it.
India has decried the U.S. tariffs as "unjustified and unreasonable," asserting its right to safeguard national interests and economic security.
Navarro's post was accompanied by images titled 'India-Russia Blood oil trade,' 'Putin’s war chest,' and photographs of Indian Prime Minister Narendra Modi with Russian President Vladimir Putin, among others.
A day prior, Navarro accused Prime Minister Modi of perpetuating the Ukraine conflict, asserting that "the road to peace" partly runs through New Delhi.
He argued that American consumers, businesses, and taxpayers suffer because of India's high tariffs, accusing them of costing U.S. jobs and contributing to what he termed "Modi's war."
There was no immediate response from New Delhi to Navarro's statements.
Meanwhile, the Democrats on the House Foreign Affairs Committee criticized Trump for targeting India over Russian oil purchases while refraining from sanctioning larger buyers like China. They argued that the tariffs harm American interests and impair the U.S.-India relationship, questioning whether Navarro's actions are genuinely about Ukraine.
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