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US Imposes New Tariffs on India, Pakistan Over Oil Trade Dispute

US Imposes New Tariffs on India, Pakistan Over Oil Trade Dispute

US tariffs the United States has moved against both India and Pakistan in trade and energy policy.

On India:

President Trump said India buys large amounts of Russian oil. He claimed India resells that oil for profit. He already imposed a 25% tariff on Indian goods. Now, he says he will substantially raise that tariff and impose extra penalties. India has called this action unjustified and unreasonable. Officials stated India turned to Russian oil only when Western supplies were cut. They also said India exports refined oil products—not crude—and that tariff threats are unfair.

On Pakistan:

US tariffs .The US and Pakistan struck a deal to develop Pakistan’s massive oil reserves. As part of the agreement, the US will impose a 19% tariff on Pakistani imports—down from a previously threatened 29%. Pakistan welcomed this deal. It said the lower tariff will boost its exports, especially in textiles, and attract investment.

These moves mark a clear shift in US strategy. While India faces rising trade barriers, Pakistan receives preferential treatment and support in energy development. Trump also hinted that Pakistan could someday sell oil to India, deepening regional implications.

Analysts warn this could strain US–India relations. Trade talks between the two countries are already stalled. The proposed tariffs may affect billions of dollars of trade and hurt economic growth. At the same time, Pakistan stands to gain from easier market access and energy ties with the US.

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