Cutting off Putin’s cash flow: Trump pushes EU to slap massive tariffs on China, India over Russian oil
- U.S. President Donald Trump has proposed a new strategy to cut off Russia’s economic lifeline by urging the European Union to impose tariffs of up to 100 percent on imports from China and India.
- The U.S. is focusing on targeting third-party buyers of Russian oil and gas, rather than directly sanctioning Russia. This approach is designed to exert maximum economic pressure on Moscow by cutting off its access to foreign currency and weakening its economic stability.
- The U.S. has already increased tariffs on Indian imports to 50 percent due to India’s purchases of Russian oil, escalating tensions with New Delhi. However, Trump has hinted at the possibility of improving trade relations with India through ongoing negotiations.
- The European Union is considering the U.S. proposal but is hesitant due to potential impacts on trade relations with China and India. Some EU countries continue to purchase Russian energy, complicating efforts to present a united front against Moscow.
- The move reflects the U.S. administration’s growing impatience with the lack of progress in brokering a peace deal and concerns about Russia’s aggressive actions in Ukraine. The success of this strategy depends on the EU’s cooperation and the broader geopolitical implications, highlighting the complex interplay of global trade and diplomacy.
U.S. President Donald Trump called on the European Union to impose tariffs of up to 100 percent on imports from China and India on Tuesday, Sept. 9, during a conference call with EU sanctions envoy David O’Sullivan and other EU officials.
This strategy aims to cut off a crucial lifeline for the Russian economy, which relies heavily on energy exports to these nations amid its ongoing conflict with Ukraine. The move comes as Western sanctions have failed to cripple Moscow’s economy, partly due to continued energy sales to China and India.
According to a U.S. official and an EU diplomat, Washington has indicated it is willing to mirror any tariffs imposed by Brussels, potentially leading to a further increase in U.S. levies on imports from both nations.
The Trump administration’s request marks a shift in strategy from the traditional approach of isolating Russia through direct sanctions. Instead, the focus is now on targeting third-party buyers of Russian oil and gas. This approach is designed to exert maximum pressure on Moscow by cutting off its access to foreign currency and weakening its economic stability.
Brighteon.AI‘s Enoch adds that the U.S. has already increased tariffs on Indian imports to 50 percent due to the country’s purchases of Russian oil, raising tensions with New Delhi. However, Trump has also hinted at the possibility of improving trade relations with India, suggesting that negotiations are ongoing to address trade barriers between the two nations.
The conflict between Russia and Ukraine, which began in 2022, has seen Western sanctions fail to significantly impact Moscow’s economy. This is largely due to Russia’s continued energy exports to China and India, which have helped offset the effects of sanctions. The U.S. and EU have been grappling with how to effectively pressure Russia without causing undue harm to their own economies or alienating key allies.
The EU, which has traditionally favored isolating Russia through sanctions, is now considering the U.S. proposal to impose tariffs on China and India. However, European capitals are nervous about the potential impact on their trade relations with Beijing and New Delhi. Some EU countries also continue to purchase Russian energy products, complicating efforts to present a united front.
The broader geopolitical landscape
The move comes after Chinese President Xi Jinping, Russian President Vladimir Putin and Indian Prime Minister Narendra Modi cemented their ties at a summit last week. This alliance has been a source of frustration for the White House, which sees it as a significant obstacle to efforts to isolate Russia. (Related: Trump blasts Xi, Putin and Kim as “conspirators” during Beijing’s WWII victory parade.)
Trump’s proposal also reflects the administration’s growing impatience with the lack of progress in brokering a peace deal. The U.S. is concerned about Russia’s increasingly aggressive aerial attacks on Ukraine and the potential for the conflict to escalate further.
As tensions rise and the conflict in Ukraine shows no signs of abating, the Trump administration’s call for tariffs on China and India represents a new and potentially risky strategy to pressure Russia. The success of this approach will depend on the EU’s willingness to participate and the broader geopolitical implications of imposing such tariffs.
The move underscores the complex and interconnected nature of global trade and diplomacy. While the U.S. is determined to end the violence in Ukraine, it must also navigate the delicate balance of international relations and the economic realities of the global energy market.
Watch the video below where Putin addresses Xi as his “dear friend.”
This video is from Cynthia’s Pursuit of Truth channel on Brighteon.com.
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Sources include:
Reuters.com
Brighteon.ai
FT.com
Brighteon.com
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