Trump suggested the EU should implement tariffs of up to 100% on India and China to exert pressure on Russian President Vladimir Putin. (AI image)

US President Donald Trump has reportedly urged the European Union to impose 100% tariffs on countries like India and China for their Russian oil purchases, but the EU may not go ahead with the move.According to a Reuters report quoting EU sources, the European Union has indicated it would likely not implement severe tariffs on India or China, the primary purchasers of Russian oil, despite recommendations from Trump.A delegation from the EU, with the bloc’s Russia sanctions head amongst them, travelled to Washington for discussions on aligning sanctions strategies against Russia following its full-scale invasion of Ukraine.Also Read | India-US trade deal: Should India be enthralled by Donald Trump’s outreach to PM Modi?According to officials, Trump suggested the EU should implement tariffs of up to 100% on India and China to exert pressure on Russian President Vladimir Putin, whose nation depends on energy sales to finance its military operations in Ukraine.The EU has levied comprehensive sanctions against Russia and has included two banks from China and a prominent Indian refinery in its latest sanctions package released in July.

Why EU may not hike tariffs on India, China

According to the Reuters report, the European Union handles tariffs distinctly from sanctions. Tariffs are implemented only after conducting thorough investigations, which typically extend over several months, to establish legally valid grounds.To date, the EU’s tariff impositions related to the Ukraine conflict have been limited to fertilisers and agricultural products from Russia and Belarus. These measures were justified on grounds of preventing strategic dependence that could be exploited, whilst protecting EU-based fertiliser manufacturers from potential harm.An EU diplomat told Reuters confirmed that discussions regarding potential tariffs haven’t been initiated with either India or China.“So far, there is no discussion on possible tariffs neither on India…nor with China,” an EU diplomat was quoted as saying.Also Read | The 50% misfire: How Trump made Russian oil cheaper for India – And Putin a winnerThe European Union is currently working towards completing a trade agreement with India, and they are cautious about actions that might compromise this negotiation.By Wednesday, Trump’s stance towards India showed signs of softening, as he expressed interest in rebuilding trade relationships with New Delhi.A second EU source quoted in the report highlighted the risks associated with broad tariffs, suggesting that targeting specific entities would be more effective, with the option to remove sanctions if they stop Russian business operations.Until now, the European Union’s sanctions have primarily targeted lesser-known entities in third countries, specifically shell companies that facilitate the transfer of military equipment or dual-use goods to Russia’s military sector.The EU’s 19th sanctions package, potentially to be proposed on Friday, aims to include banks from two central Asian nations and Chinese refineries.Also Read | Pushing back against Trump pressure: India’s state-owned refiners look to fully revive Russia crude oil buys; lack of cargoes an issue