New York/Washington: The US “temporarily permitted” India to “accept” Russian oil already on ships to ensure energy supplies amid the conflict with Iran, a top White House official said, underlining that America’s allies in India are “good actors”.
The US last week said it was issuing a temporary 30-day waiver to allow Indian refiners to purchase Russian oil in the backdrop of the escalating West Asia conflict.
President Donald Trump, Treasury Secretary Scott Bessent and the whole national security team “came to this decision because our allies in India have been good actors and have previously stopped buying sanctioned Russian oil”, White House Press Secretary Karoline Leavitt told a press conference on Tuesday.
“So as we work to appease this temporary gap of oil supply around the world because of the Iranians, we have temporarily permitted them (India) to accept that Russian oil. And this Russian oil was already at sea,” she said while responding to a question on the US issuing the 30-day waiver to India.
She said this short-term measure will not provide significant financial benefit to the Russian government at this time.
Leavitt’s comments drew sharp criticism in India, with the Congress saying that her remarks were a “capitulation certificate” to Prime Minister Narendra Modi.
“After the US Treasury Secretary, it is now the turn of President Trump’s press secretary to give Mr Modi a capitulation certificate,” Congress general secretary in charge of communications Jairam Ramesh said.
Amid the criticism, US Ambassador to Delhi Sergio Gor said that India has been a “great partner” in maintaining stable oil prices around the world.
“The United States recognises ongoing purchases of Russian oil are a part of this effort. India is one of the largest consumers and refiners of oil and it is essential for the United States and India to work hand in hand for market stability for Americans and Indians,” he said in a post on X.
Treasury Secretary Bessent last week said that President Trump’s energy agenda has resulted in oil and gas production reaching the highest levels ever recorded. “To enable oil to keep flowing into the global market, the Treasury Department is issuing a temporary 30-day waiver to allow Indian refiners to purchase Russian oil,” Bessent said.
He had said this “deliberately short-term measure” will not provide significant financial benefit to the Russian government as it only authorises transactions involving oil already stranded at sea.
“India is an essential partner of the United States, and we fully anticipate that New Delhi will ramp up purchases of US oil. This stop-gap measure will alleviate pressure caused by Iran’s attempt to take global energy hostage,” Bessent had said.
Trump had imposed 25 per cent punitive tariffs on India for buying Russian oil, with his administration asserting that New Delhi’s purchases were helping fuel Russia’s war machine against Ukraine.
Last month, the US and India announced that they have prepared a framework for an interim agreement on trade, and Trump issued an Executive Order removing the 25 per cent tariffs on New Delhi, noting the latter’s commitment to stop directly or indirectly importing energy from Moscow and purchasing American energy products.
Energy Secretary Chris Wright said in a post on X on Friday that the US is “allowing our friends in India” to take the Russian oil already on ships around Southern Asia, refine it and move the stocks into the market quickly to ensure a flowing supply and ease pressure amid the ongoing US-Israel war against Iran.
“We have implemented short-term measures to help keep oil prices down. We are allowing our friends in India to take oil that is already on ships, refine it, and move those barrels into the market quickly. A practical way to get supply flowing and ease pressure,” Wright said.
Wright has said that he and Bessent have spoken with authorities in India regarding purchasing Russian oil already floating on waterways, waiting to be unloaded at Chinese refineries, and transporting it to Indian refineries with an aim to “tamp” down concerns over oil shortage and price increases amid the West Asia conflict.
“The United States’ policy towards Russia has not changed at all. India is very clear on that,” Wright told CNN on Sunday.
Asked whether the Treasury Department’s 30-day waiver to allow Indian refiners to purchase Russian oil amid the US-Israel war against Iran was undermining, in the short term, the Trump administration’s goal of isolating Russia, Wright said, “It is not.”
He said India has “displaced” all Russian oil imports and is raising its imports from the US, Venezuela and other nations.
“India has been a great partner through this. But I did call up the Indians, as did Treasury Secretary Bessent, and said, ‘Look, there is a whole bunch of oil that is floating to wait to unload at Chinese refineries’.
“Instead of having it wait six weeks to unload there, let us just pull that oil forward, have it land in Indian refineries and tamp this fear of shortage of oil, tamp the price spikes and the concerns we see in the marketplace. It is just a pragmatic effort that has a short time span. No change in policy towards Russia,” he said.
