India won’t be intimidated by US sanctions Bill on Russia: Ex-diplomat

NEW DELHI: Following US President Donald Trump's signing of the Russia sanctions legislation into law, former diplomat K.P. Fabian on Saturday said the new law gives the US President considerable discretion over imposing tariffs on countries that purchase Russian energy.

His remarks came after the US Congress passed legislation granting the President authority to impose tariffs of up to 100 per cent on goods from major buyers of Russian energy.

President Trump signed the sweeping Russia sanctions Bill into law on Friday (local time), giving his administration an additional tool to exert economic pressure on countries continuing to purchase Russian energy.

Speaking to IANS, Fabian said, "It gives the President discretion. If he assesses that imposing these higher tariffs on a particular country is not in the national interest of the United States, he can decide not to impose them. So, it gives him a lot of spare cards to play."

"The top five countries importing Russian exports are being targeted: China, which imports 50 per cent of Russian exports; India, 37 per cent; Turkey, 5 per cent; the European Union, 5 per cent; and then Azerbaijan and Hungary, which together account for another 3 per cent," he said.

The legislation gives President Trump the authority to impose tariffs of up to 100 per cent on the five largest purchasers of Russian oil or gas, although the law provides scope for the President to exercise discretion over the application of the measures.

Commenting specifically on India, Fabian said he believed President Trump could use the tariff provision as leverage in ongoing trade discussions between the two countries.

"As far as India is concerned, it is my reckoning that, given Trump's style of functioning, he would use this as a threat to make India sign on the dotted line on the interim trade deal. How will India react? I don't think India will be intimidated. The External Affairs Ministry should summon the US envoy over this," he said. (IANS)

Also Read: US Congress Approves Sweeping Tariff Bill Targeting Buyers of Russian Oil and Gas