US sanctions Bill: India says energy security for 1.4 bn people a priority

The legislation gives President Donald Trump discretion to impose tariffs of up to 100 per cent on major buyers of Russian energy, including India, but does not trigger them automatically

The Ministry of External Affairs (MEA) on Thursday said India cannot be pressured on its energy sourcing, flagging the potential damage of a Bill passed by the US Congress hours earlier. The Bill authorises President Donald Trump to impose sanctions on Russia and steep tariffs up to 100 per cent on countries that buy oil and gas from it, including India.

The MEA reiterated that India remains firmly committed to ensuring energy security for its 1.4 billion people. “It will continue to do so through diversified sourcing and on the basis of evolving market dynamics,” the statement read. The government will work closely with Indian trade and industry bodies to deal with the implications of these developments, it said.

Russia has emerged as the top source of crude oil for India in the past four years after Moscow offered discounts following the Russia-Ukraine war in 2022. Some estimates say that Russia has accounted for nearly half of India’s crude oil imports after the war in West Asia affected supply chains.

In its statement on the Sanctioning Russia and Iran Act, New Delhi said any sanctions could have potential implications for the India-US bilateral relationship. It said the issue of sanctions “has been discussed at high levels in recent months with various US interlocutors.”

“Its potential implications for not just the bilateral relationship but also the international energy market have been clearly articulated by the Indian side,” the MEA said. The Indian side had also “made clear its determination to take all necessary measures to protect its trade and economic interests,” it said. The MEA said the Indian government is monitoring further developments on the matter.