S Jaishankar Urges Russia to Fix $58.9 Billion Trade Imbalance Amid US Tariff Pressure
India-Russia trade hits $68B, but deficit surges. Jaishankar pushes for balanced trade, faster FTA, and stronger ties.
Jaishankar to Russia: Address Trade Gap Urgently as US Tariffs Hit Indian Exports
Moscow/New Delhi: External Affairs Minister S Jaishankar has called on Russia to urgently address India’s ballooning trade deficit, which has surged to $58.9 billion, largely due to crude oil imports. His remarks came during the India-Russia Inter-Governmental Commission on Trade, Economic, Scientific, Technological and Cultural Cooperation (IRIGC-TEC) meeting in Moscow.
“Our bilateral trade has grown more than five-fold from $3 billion in 2021 to $68 billion in 2024–25, but the imbalance has risen nine times. This must be addressed urgently,” Jaishankar said.
Pushing for Stronger Economic Ties → Roadmap to $100B Trade by 2030
Jaishankar outlined a strategy to correct the imbalance while deepening economic ties:
♦ Remove tariff and non-tariff barriers
♦ Resolve logistics hurdles and boost connectivity via the International North-South Transport Corridor (INSTC), Northern Sea Route, and Chennai–Vladivostok maritime corridor
♦ Streamline payment systems to facilitate faster trade settlements
♦ Fast-track the India–Eurasian Economic Union FTA, whose terms were finalised during the visit
He also urged Russian firms to invest more aggressively in India’s modernization drive under the Make in India initiative.
“These steps will help balance trade and accelerate our revised target of $100 billion by 2030,” Jaishankar added.
Diplomatic Backdrop → US Tariff Heat and Strategic Partnerships
Jaishankar’s three-day Moscow visit comes as India-US relations face strain after President Donald Trump doubled tariffs on Indian goods to 50%, adding an extra 25% penalty over India’s Russian crude purchases.
The visit also precedes potential high-level meetings:
♦ A likely Modi–Putin interaction at the upcoming SCO Summit in Tianjin, China
♦ Continuing discussions over a possible Vladimir Putin visit to India later this year
Jaishankar is scheduled to meet Russian Foreign Minister Sergey Lavrov to reaffirm the “special privileged strategic partnership” between the two nations.
