G7 Pressured by Trump to Back Tariffs on Russian Oil Buyers
Washington is preparing a new push to cut off Moscow’s war funding. The U.S. will urge Group of Seven allies to back tariffs of up to 100% on Chinese and Indian imports, targeting both nations’ heavy purchases of Russian crude.
Treasury Secretary Scott Bessent told G-7 finance ministers that strong words must be matched by economic action, calling tariffs on countries buying Russian oil “essential to ending the war.”
Markets moved quickly after the reports. Brent crude jumped 0.8% on Friday, while the euro slipped to its daily low before stabilizing.
President Donald Trump warned that his patience with Vladimir Putin is “running out fast,” vowing new penalties on banks, energy flows, and trade. He has already doubled tariffs on India to 50% and has told European officials the U.S. will match any tariffs they place on Beijing or New Delhi. EU divisions, however, especially resistance from Hungary, remain a hurdle.
Frozen Assets and Wider Sanctions
The U.S. proposal also calls for seizing Russia’s $300 billion in immobilized sovereign assets, most held in Europe. So far, only profits from those funds have been redirected to Kyiv as loans. Washington wants the principle itself used to finance Ukraine’s defense.
Other measures under discussion include sanctions on Russia’s “shadow fleet” of oil tankers, restrictions on maritime insurance, penalties against Rosneft PJSC and regional banks, and bans on AI and fintech services in Russian special zones.
India and China in Focus
India has emerged as one of Asia’s top importers of Russian crude since the invasion, while China remains Moscow’s largest buyer overall. Both nations have defied Western calls to cut purchases, cushioning Russia’s revenue stream and frustrating Washington’s sanction strategy.
Despite the tough talk, Trump has avoided direct sanctions on Russia itself. His deadlines for Putin to hold talks with Ukraine have passed with no progress, and Moscow continues its bombing campaign. The EU is preparing its 19th sanctions package, but Washington’s call for tariffs could mark a shift toward a broader confrontation that risks drawing in Asia’s two largest economies.
Source: Bloomberg
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