'India is a laundromat for Kremlin': US trade advisor says Delhi ‘cheats’ on trade, fuels war

White House Trade Adviser Peter Navarro has accused India of “perpetuating” the Ukraine war by buying discounted Russian crude oil, calling New Delhi a “laundromat for the Kremlin” profiting off the bloodshed.

“India doesn’t appear to want to recognise its role in the bloodshed,” Navarro said, accusing New Delhi of enabling Russia’s war efforts. “They don’t need the oil. It’s a refining profiteering scheme… It’s a laundromat for the Kremlin.”

Citing India’s soaring Russian oil imports—up from less than 1% pre-2022 to about 35-40% now—Navarro claimed Indian and Italian refiners are colluding to buy cheap crude, refine it, and sell it at premium prices. “They make a bunch of money there, but then the Russians use the money to build more arms and kill Ukrainians,” he warned.

The US will impose a 50% tariff on Indian goods starting August 27, combining a baseline 10% duty, a 25% reciprocal tariff, and an additional 25% penalty over oil imports. Navarro defended the move, calling India’s trade tactics “cheating.”

“In India, 25% tariffs were put in place because they cheat us on trade. Then 25% because of the Russian oil… They have higher tariffs, Maharaja tariffs… We run a massive trade deficit with them. That hurts American workers and businesses,” he said.

Navarro also questioned India’s geopolitical alignment: “It’s cosying up to Xi Jinping… What you’re doing right now is not creating peace. It’s perpetuating the war… In many ways, the road to peace runs through New Delhi.”

India’s External Affairs Minister S. Jaishankar rebuffed the criticism, noting US officials had earlier urged India to stabilize global energy markets. “We are not the biggest purchasers of Russian oil; that is China… We also buy oil from the US, and that amount has increased,” he said.

The Ministry of External Affairs said India would “take all actions necessary to protect its national interests,” calling the tariffs “extremely unfortunate.”

Former UN Ambassador Nikki Haley warned that harming US-India ties would be a “strategic disaster,” urging Trump to hold direct talks with PM Modi. Economist Jeffrey Sachs condemned the tariffs as “sabotage,” while China’s Ambassador Xu Feihong said Beijing would “stand with India” against US “bullying.”