Marta Gichko10:50, 21.07.25

The current reaction of investors indicates that they did not believe in the White House’s intentions to introduce secondary tariffs.

The US could hit Russia’s oil revenues without risky “secondary tariffs,” writes Reuters special correspondent Hugo Dixon.

He believes that Donald Trump’s administration has more effective tools for putting pressure on the Kremlin than imposing secondary sanctions against buyers of Russian oil.

“Trump doesn’t need secondary tariffs to cut into Moscow’s revenues, which currently amount to about $160 billion a year,” Dixon writes.

Trump’s recent statements about the possibility of 100% tariffs on imports from countries that trade with Russia have sparked skepticism in financial markets. The ruble and stocks in Russia have risen, while oil prices have fallen. Dixon writes:

“This is the opposite of what would happen if investors truly believed Trump’s intentions were serious.”

Realistic approach

Instead of radical measures, Dixon proposes a diplomatic strategy: convince India to stop buying Russian oil, while simultaneously encouraging Saudi Arabia to increase production to avoid a spike in world prices.

“Washington has a considerable diplomatic arsenal to negotiate with Delhi and Ankara a profitable supply swap,” Dixon notes.

(C)UNIAN 2025