NextFin news, On Friday, September 12, 2025, the United States Treasury Department called on the Group of Seven (G7) nations and the European Union (EU) to impose significant tariffs on imports from China and India due to their continued purchases of Russian oil. The announcement was made in Washington, D.C., as part of a broader effort to increase economic pressure on Russia amid the ongoing conflict in Ukraine.
US Treasury Secretary Scott Besant emphasized that the oil purchases by China and India financially support Russian President Vladimir Putin's military operations in Ukraine. Besant stated, "Chinese and Indian purchases of Russian oil are funding Putin’s war machine and prolonging the senseless killing of the Ukrainian people." The Treasury urged its G7 and EU allies to join the United States in imposing tariffs that could be lifted once the war concludes, aiming to deter these countries from continuing their oil imports from Russia.
This call to action came during a conference call with G7 finance ministers, which include representatives from the United States, United Kingdom, Germany, France, Italy, Canada, and Japan. The ministers discussed further sanctions on Russia and possible trade measures against countries supporting Russia's military efforts.
President Donald Trump recently increased tariffs on Indian imports by 25%, bringing the total punitive tariffs on Indian goods to 50%. This move is part of the US administration's strategy to pressure India to cease its Russian oil purchases. However, the US has refrained from imposing additional tariffs on Chinese products, maintaining a delicate trade balance with Beijing despite China's continued oil imports from Russia.
The US Trade Representative Jamieson Greer and Treasury Secretary Besant also highlighted the importance of joint Western efforts to reduce Russia's revenues and use frozen Russian assets to strengthen Ukraine's defense capabilities. They expressed hope that G7 countries would take decisive action to end the conflict.
The G7 finance ministers agreed to accelerate discussions on using frozen Russian assets for Ukraine's defense and considered a wide range of economic measures, including tariffs, to increase pressure on Russia. The US administration's push for tariffs on China and India reflects its broader goal of isolating Russia economically and curbing its military funding.
This development marks a significant escalation in the economic measures taken by the US and its allies in response to the Ukraine conflict, highlighting the ongoing geopolitical tensions surrounding energy supplies and international trade.
Explore more exclusive insights at nextfin.ai.
