Davos: The US may be considering reduction in the tariffs imposed on India to 25%. Speaking at the Davos 2026 conference, the country’s treasury secretary Scott Bessent suggested that the Donald Trump government could cut back on the additional 25% tariff India is facing due to its purchase of Russian oil. This was reported by Financial Express.
India continues to face a total of 50% tariffs owing to the Trump administration’s punitive measures against countries engaging in trade with Russia despite the country’s war in Ukraine. Bessent’s message comes shortly after Trump said that both countries are “going to have a good deal”.
“We put 25% tariffs on India for buying Russian oil, and the Indian purchases by their refineries… have collapsed,” Bessent has been quoted as saying at the US
A House, Davos 2026, in Switzerland.
“That is a success. The 25% Russian oil tariffs are still on. I would imagine there is a path to take them off now. So that’s a check and a huge success,” he said.
He had recently said that India has “stopped” buying oil from Russia in light of Trump’s hefty tariff imposition. Speaking to Fox Business earlier this week, Bessent had said: “India started buying Russian oil after the (Ukraine) conflict began, but President Trump put a 25% tariff of them and India has geared down and has stopped buying Russian oil.”
The treasury secretary had, at the same time, addressed a bill introduced by senator Lindsey Graham that proposed a 500% tariff on secondary purchase and reselling of Russian oil.
“We will see whether that passes,” the Treasury Secretary told Fox. “We don’t believe that President Trump needs that authority, that he can do it IEEPA, but that the Senate wants to give him that authority,” Bessent had said.
Trump told Moneycontrol at Davos 2026 that a “good deal” between the US and India was anticipated, while hearing praise on Prime Minister Narendra Modi. Train negotiations are currently on between the two countries.