Trump-Modi to resolve India-US tariff row, says White House adviser Navarro
Synopsis
Key Takeaways
White House trade adviser Peter Navarro said on Tuesday, 11 August that US President Donald Trump and Prime Minister Narendra Modi would work directly with each other to resolve ongoing tensions over India's purchases of Russian oil and the threat of steep US tariffs. The remarks came as Washington and New Delhi continued active trade negotiations.
What Navarro Said
'The President and your prime minister have a very good working relationship,' Navarro told reporters at the White House. 'They are going to work that out amongst themselves, and it's not for me in any gaggle to get between that.'
Navarro was responding to a question about legislation linked to the late Republican senator Lindsey Graham — a bill that could impose tariffs of up to 100 per cent on countries purchasing Russian energy. When asked whether the proposed tariff, combined with ongoing trade talks, could further strain India-US relations, Navarro did not address the tariff question directly.
India's Russian Oil Trade Under Scrutiny
Instead, Navarro referenced an opinion article he had written for the Financial Times several months ago, in which he argued that India's purchases of Russian oil expanded significantly after Moscow's invasion of Ukraine. 'Prior to the Russian invasion of Ukraine, India was not involved in the oil trade with Russia, but afterwards it got heavily involved,' he said.
Navarro also accused India of selling products derived from Russian oil, alleging the trade had helped finance Moscow's war effort — though he offered no supporting figures during the exchange. He then claimed the issue had since been resolved, without specifying what action was taken or which aspect of the trade — oil purchases, petroleum product sales, or another element — he was referring to. 'And that issue has been resolved,' he said. 'Maybe I had a little bit to do with that with that op-ed.'
The Graham Sanctions Bill
The Senate passed the Lindsey O. Graham Sanctioning Russia and Iran Act of 2026 last week by an 86-11 vote. The legislation authorises tariffs of up to 100 per cent on goods from the five largest purchasers of Russian oil and gas, as well as the five leading countries involved in sanctions evasion. Notably, the bill does not name India as an automatic tariff target, leaving its applicability subject to executive determination.
Navarro's Broader Tariff Defence
Earlier in the same briefing, Navarro defended the Trump administration's wider tariff strategy, arguing that import duties were drawing foreign companies to build factories in the United States and stimulating domestic investment. 'The signature there are the tariffs, which are bringing onshore both dollar investment from foreigners when they're building here to avoid the tariffs, but also indigenous investment here,' he said.
Navarro acknowledged that Americans were still grappling with inflation-driven economic hardship, but contended that the administration's tax, trade, and deregulation policies were beginning to yield results — particularly in construction and manufacturing. With both governments still at the negotiating table, the trajectory of India-US trade relations will likely hinge on any direct engagement between Trump and Modi in the coming weeks.