US Warns India of More Sanctions, Tariffs if Trump-Putin Alaska Talks Fail

The United States has issued a stern warning to India, threatening to impose additional sanctions and raise tariffs if the upcoming high-stakes meeting between President Donald Trump and Russian President Vladimir Putin fails to produce a breakthrough on the Ukraine war. US Treasury Secretary Scott Bessent cautioned that the existing 50% tariffs on Indian goods could be increased, directly linking India’s trade future to the outcome of the talks in Alaska on Friday.

Speaking to Bloomberg TV, Bessent made it clear that Washington is prepared to escalate its economic pressure on New Delhi, which it accuses of indirectly financing Moscow’s war effort by purchasing Russian oil. “We’ve put secondary tariffs on Indians for buying Russian oil.

And I could see, if things don’t go well, then sanctions or secondary tariffs could go up,” Bessent said. His comments came after President Trump imposed a fresh 25% levy on Indian imports, including on Russian oil and weapons purchases, on top of an existing 25% duty, bringing the total to a steep 50%. This new tariff is set to take effect on August 27.

India has reacted strongly to the punitive measures, with the government calling the tariffs “unfair, unjustified, and unreasonable” and staunchly defending its oil imports as a matter of national energy security. In a separate interview, Bessent described India as “a bit recalcitrant” in trade negotiations, which hit a roadblock earlier this month.

Despite the escalating rhetoric, a sixth round of bilateral trade negotiations between the US and India is scheduled to begin in New Delhi on August 25, just two days before the new tariffs are implemented. However, the shadow of the Trump-Putin summit looms large over these talks.

Trump, who has cast himself as a mediator, warned of “severe consequences” for Moscow if it doesn’t agree to a peace deal in Ukraine. He has described the Alaska meeting as a “feel-out meeting” to gauge Putin’s willingness to pursue a ceasefire, even suggesting a potential “swapping of territories”—an idea firmly rejected by Kyiv.

The direct linkage of India-US trade relations to the geopolitics of the Ukraine conflict has created significant uncertainty. European allies and Ukrainian officials have expressed apprehension about the one-on-one meeting, fearing an outcome that could favor Russian objectives at Ukraine’s expense.