The U.S. Treasury has called on its G7 and EU allies to impose tariffs as high as 100% on imports from India and China in response to their continued purchases of Russian oil. The move is intended to intensify pressure on Moscow and push it toward peace negotiations with Ukraine.
In a call with G7 finance ministers on Friday, U.S. Treasury Secretary Scott Bessent and Trade Representative Jamieson Greer urged allies to align with Washington’s tariff actions, emphasizing that a coordinated effort to curb Russia’s energy income is essential to ending the war.
The discussion, chaired by Canadian Finance Minister François-Philippe Champagne, saw G7 finance ministers explore new sanctions, trade restrictions, and the use of frozen Russian assets to support Ukraine’s defense.
The details were outlined in a statement from Canada, which currently holds the G7 presidency.
The move comes shortly after Trump called on the European Union to levy 100% tariffs on India and China, claiming they support President Vladimir Putin’s war in Ukraine. However, a Reuters report quoting EU officials indicated that such a measure is unlikely, as the bloc treats sanctions and tariffs differently. Officials also pointed out that imposing such steep tariffs on two key trading partners would be challenging due to several factors.
Trump has increased tariffs on Indian imports by an additional 25%, raising the total punitive tariffs to 50% in an attempt to pressure New Delhi’s oil trade with Moscow. This action has strained U.S.-India relations and made trade negotiations more difficult. However, Trump has avoided imposing new tariffs on Chinese imports, emphasizing the importance of maintaining a fragile trade agreement with Beijing.
“Only with a unified effort that cuts off the revenues funding Putin’s war machine at the source will we be able to apply sufficient economic pressure to end the senseless killing,” Bessent and U.S. Trade Representative Jamieson Greer said in a joint statement.
Officials stated that talks would intensify in the coming weeks, including exploring legal options for transferring frozen Russian assets to Ukraine.
Meanwhile, Bessent is scheduled to travel to Madrid for a new round of discussions with Chinese Vice Premier He Lifeng, focusing on trade relations, Washington’s push for TikTok’s divestment from its Chinese parent company, and joint efforts to strengthen anti–money laundering measures.
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