India's Stance on S-400 Missile System and Sanctions
During Operation Sindoor, India utilized the S-400 missile system as the outermost layer of its air defense. This system was acquired from Russia, despite potential US sanctions under CAATSA.
CAATSA and US Sanctions
- The Countering America's Adversaries Through Sanctions Act (CAATSA) mandates sanctions against countries engaging in significant transactions with Russia, North Korea, or Iran.
- India proceeded with the S-400 deal, leading to an India-specific waiver from US sanctions.
- Similar situations are arising, with the NATO secretary general warning of secondary sanctions on countries like India, China, and Brazil for dealing with Russia.
US and NATO's Potential Sanctions
- US senators are backing a sanctions bill proposing a 500% tariff on nations purchasing Russian goods.
- The US president proposed 100% secondary tariffs targeting Russia's trade partners if a peace deal with Ukraine does not occur within 50 days.
- India's Ministry of External Affairs emphasized national energy requirements as a priority and cautioned against double standards.
India's Energy Strategy
- India capitalized on discounted Russian oil after the West imposed price caps, with Russia becoming India's top crude supplier.
- A considerable volume of refined fuel from Russian oil is exported to Europe.
- By late 2024, India had become the EU's largest exporter of oil products, utilizing a refining loophole, according to a CREA report.
Impact of Sanctions on Global Relationships
- The West aims to choke Russia’s war funding and pressure for a ceasefire through trade partner sanctions.
- This could strain relationships with major economies like India, a key ally in the Indo-Pacific.
- The West is urged to treat India as an equal partner rather than penalizing it while expecting cooperation.
India’s Position
- The Petroleum Ministry expressed confidence, stating India had diversified its crude sourcing.
- India remains resolute in pursuing its national interests despite Western attempts to dictate terms.
