India should disregard NATO threat on doing business with Russia

Indian Express

18-07-2025

During Operation Sindoor, the S-400 formed the outermost layer of India's air defence. This is the missile system that India acquired from Russia a few years ago despite the US threatening sanctions under CAATSA — a law mandating punitive measures against countries engaging in 'significant transactions' with Russia, North Korea, or Iran. India made it clear that it would proceed with the S-400 deal anyway. Eventually, the US House carved out an India-specific waiver. A similar episode is playing out again. NATO Secretary General Mark Rutte warned this week that countries like India, China, and Brazil could face secondary sanctions if they continue doing business with Russia. This comes as several US senators back a new sanctions bill proposing a 500 per cent tariff on nations buying Russian goods. US President Donald Trump, too, said this week that the US would impose 100 per cent secondary tariffs targeting Russia's trade partners if a peace deal with Ukraine did not happen in 50 days.
The Ministry of External Affairs' sharp rebuttal on Thursday — underlining that the energy requirements of the Indian people are the overriding priority, and cautioning against 'double standards' — serves as a timely reminder to the West, particularly Europe, of its own manoeuvres in pursuit of energy security. Yes, India was quick to seize the opportunity to purchase discounted Russian oil after the West imposed price caps and turned away from it. But while Russia's emergence as India's top crude supplier has helped meet domestic energy demand and stabilise prices, it is no secret that a substantial volume of refined fuel, derived from the Russian oil imported to India, is ultimately exported to Europe. A CREA report noted that by late 2024, 'capitalising on the refining loophole', India had become the EU's largest exporter of oil products. Europe also imported LNG at record levels from Russia last year.
The sanctions threat to its trade partners is intended to choke Russia's war funding and pressure President Vladimir Putin into agreeing to a ceasefire. In doing so, however, the US and NATO risk undermining their relationship with one of the world's largest economies and an essential ally in the Indo-Pacific. The West cannot have it both ways: Penalise India for pursuing national interest while simultaneously expecting cooperation in regional and global initiatives. It is high time the West engaged with India as an equal partner. Petroleum Minister Hardeep Singh Puri said on Thursday that there was nothing to worry about even if sanctions were activated because India has expanded its crude sourcing slate. New Delhi should remain firm in pursuing its own path, even as the West seeks to dictate terms.