Double Standards? US Sanctions on India Amid Continued Trade with Russia by the West
The US imposes tariffs and pressures India on Russia ties, but continues its own trade with Moscow. Explore this contradiction with year-wise trade data and implications for global diplomacy.
Introduction
In a world marked by diplomatic complexities and shifting geopolitical alliances, questions of fairness and consistency in international relations often surface. One such case is the ongoing pressure by the United States and its allies on India regarding its trade relations with Russia, particularly following the Ukraine conflict. While India is being nudged—if not coerced—into reducing energy and defense ties with Moscow, a critical paradox emerges: the US and European countries themselves continue to engage in substantial trade with Russia.
This blog explores the underlying reasons for US-imposed tariffs and sanctions on India, even as Western nations maintain economic ties with Russia. It unpacks the strategic hypocrisy, delves into trade statistics from 2021 to 2024, and offers a deeper understanding of the diplomatic double standards shaping global economic and security policies.
Why the US Is Targeting India: Context and Concerns
Following Russia’s invasion of Ukraine in February 2022, the Western bloc—led by the US—rallied against Moscow through sanctions and public condemnation. India, a long-time defense partner of Russia and a key energy buyer, opted for a policy of neutrality, purchasing discounted Russian oil and abstaining from UN votes.
This stance, while safeguarding India's energy security and national interests, didn't sit well with Washington.
Key Concerns Driving US Policy Toward India:
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Defense Procurement from Russia: India still imports 60–70% of its military hardware from Russia, raising red flags in US strategic circles.
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Oil Imports from Russia: India's surge in Russian oil imports since 2022 has drawn scrutiny, although it’s legal and not violating any international sanctions.
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Perceived Non-Alignment: The US expects India, as a fellow democracy and Quad partner, to align more closely with Western geopolitical agendas.
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Protectionist Tariffs: India’s push for self-reliance (Atmanirbhar Bharat), import substitution, and high customs duties on tech and electronics irks US corporates.
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Digital Sovereignty & Data Localization: India’s push for localized data storage and antitrust investigations into US Big Tech firms adds friction.
These tensions have manifested in trade tariffs, tech-related sanctions, and subtle diplomatic pressure campaigns—even as India has become America’s key strategic counterweight to China.
The Stark Contrast: US and Europe Still Trade With Russia
Despite their harsh rhetoric, both the US and European Union continue to trade billions of dollars' worth of goods with Russia—undermining their own sanctions narrative.
Here’s a year-wise breakdown of US and EU trade with Russia since 2021:
🇺🇸 US–Russia Trade
| Year | US Exports to Russia | US Imports from Russia | Total Trade Volume |
|---|---|---|---|
| 2021 | $6.4 billion | $29.7 billion | $36.1 billion |
| 2022 | $2.5 billion (↓61%) | $14.4 billion (↓51%) | $16.9 billion (↓53%) |
| 2023 | $1.2 billion | $9.4 billion | $10.6 billion |
| 2024 (est.) | $1.1 billion | $7.5 billion | $8.6 billion |
EU–Russia Trade
| Year | EU Exports to Russia | EU Imports from Russia | Total Trade Volume |
|---|---|---|---|
| 2021 | €89 billion | €158 billion | €247 billion |
| 2022 | €55 billion (↓38%) | €136 billion (↓14%) | €191 billion (↓23%) |
| 2023 | €41 billion | €77 billion | €118 billion |
| 2024 (est.) | €40 billion | €66 billion | €106 billion |
While EU imports have declined due to reduced dependency on Russian gas, they still run in the tens of billions. This exposes a clear discrepancy between what the West says about isolating Russia and what it actually does.
India’s Response: Strategic Autonomy & Pragmatism
India’s foreign policy rests on strategic autonomy—a doctrine that resists being boxed into binary geopolitical camps. Here's how India has defended its stance:
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Energy Security: India imports over 85% of its crude oil. Buying discounted Russian oil helps curb inflation and stabilize its current account.
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Defense Modernization: Russian arms are deeply embedded in India’s military ecosystem. Abrupt disengagement could impair national defense.
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Multipolar World View: India believes in a balanced global order where no single bloc dominates decision-making.
Foreign Minister Dr. S. Jaishankar has consistently articulated this vision, famously stating:
“Europe has to grow out of the mindset that its problems are the world's problems.”
Is It Hypocrisy or Realpolitik?
Let’s face it—international diplomacy often runs on double standards. For the US and Europe, national interests, energy needs, and corporate lobbying tend to override ideological commitments. This explains why:
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European countries still buy Russian LNG via third parties.
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The US continues to import Russian enriched uranium, exempt from sanctions.
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Germany and Italy relied heavily on Russian energy even after the invasion.
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Switzerland and Belgium quietly resumed diamond imports via reclassified routes.
At the same time, India is being “warned” for dealing with Russia and slapped with Section 301 tariffs or CAATSA threats—all while being expected to counterbalance China, contribute to QUAD, and remain a growing market for Western firms.
Implications: The Cost of Being Non-Western and Independent
The message is clear: the West rewards allies who follow its dictates and penalizes those who chart their own path—even if the latter have legitimate interests.
This situation brings India a mix of hurdles and possibilities.:
Challenges:
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Increased scrutiny of defense deals with Russia.
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Pressure on oil imports and banking transactions (e.g., use of rupee-rouble).
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Tariff hikes or loss of GSP (Generalized System of Preferences) from the US.
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Friction between Big Tech and data localization and competition laws.
Opportunities:
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Act as an impartial mediator among global powers.
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Deeper ties with the Global South and BRICS+ nations.
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Boosting domestic manufacturing under Atmanirbhar Bharat.
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Reduced dependency on any single trade bloc.
Conclusion: A Mirror to the West’s Selective Morality
India’s growing prominence in global affairs makes it increasingly assertive of its sovereign choices. However, this also elicits uncomfortable reactions from traditional power centers, which are unaccustomed to non-Western democracies acting independently.
The disparity between Western rhetoric against Russia and their own economic dealings with Moscow reveals a pattern—strategic interests often override morality. In this context, India’s balanced approach—pragmatic, sovereign, and non-aligned—may very well represent the voice of a new multipolar world.
Rather than being coerced into bloc politics, India has the chance to shape a fairer, multipolar global order—one where double standards are called out, and genuine partnerships are forged.
Author’s Note
As a finance and geopolitical observer, I find this subject deeply significant—not just for India, but for the entire Global South that often faces pressure to pick sides in conflicts not of its making. Through this article, I aimed to present facts, year-wise data, and a humanized narrative that speaks to both seasoned analysts and aware citizens. May we all strive for fairness in international relations.
Sources
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US Census Bureau – Foreign Trade Division
https://www.census.gov/foreign-trade/balance/c4621.html -
European Commission – Eurostat Database
https://ec.europa.eu/eurostat -
India Ministry of External Affairs – Press Releases
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Reuters, Bloomberg, Financial Times (2022–2024 Reports on EU-Russia Trade)
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Ministry of Petroleum and Natural Gas, Government of India
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Statements by EAM S. Jaishankar (multiple official briefings, 2022–2024)
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