Finance Minister Nirmala Sitharaman on Friday (September 5) said the government is working on a set of support measures for Indian exporters struggling under the weight of steep US tariffs. The announcement follows Washington’s decision last month, under President Donald Trump, to impose additional duties on Indian products. The move, tied partly to New Delhi’s continued imports of Russian crude oil, raised levies on several categories—including garments, jewellery, footwear, and chemicals—to as much as 50%.
Sitharaman said the government would not let exporters “be left stranded” and hinted at targeted assistance for industries most affected. “We will be bringing forward a mechanism to support those who are facing 50% tariffs,” she was quoted as saying to CNBC TV18, noting that Cabinet approval would be required before the measures are rolled out. While exporters are seeking immediate relief, the finance minister made clear that India’s energy strategy would not change under pressure. Speaking to CNN-News18, Sitharaman reaffirmed that the country will continue buying crude oil from Russia, calling it the most viable option for India’s energy security.
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“India’s foreign exchange outflow is dominated by crude and refined fuel purchases. We will continue buying from sources that suit our economy best—and that includes Russia,” Sitharaman was quoted as saying to the news outlet. India has become the largest buyer of Russian seaborne crude since Europe and the US restricted supplies following Moscow’s 2022 invasion of Ukraine. New Delhi maintains that its purchases have played a stabilising role in global energy markets.
Trump, however, has argued that India’s reliance on Russian oil indirectly funds the Ukraine war effort. His administration responded with punitive tariffs on Indian imports, adding pressure on bilateral trade ties even as Washington seeks India’s cooperation in efforts to end the conflict.