Exxon is in talks to re-enter Russia even as India faces heavy trade penalties from the United States. A 25% tariff was enforced on August 27, and an additional 50% tariff has since been imposed on several Indian sectors.
India faces heavy tariffs amid an oil dispute
Washington has described these measures as punishment for India’s decision to keep buying Russian oil.
The pressure was triggered when the U.S. President accused India of fueling Russia’s war by importing discounted crude. He gave India a deadline to stop those purchases, but New Delhi refused, saying energy security was too important to risk.
Indian officials also pointed out that countries such as China and members of the European Union buy far more Russian energy than India does. Yet India has been singled out with the heaviest penalties. The country’s foreign ministry said this was an unfair act of targeting and noted that Washington itself had once encouraged India to purchase Russian oil to help stabilize global markets.
Despite the tariffs, New Delhi has made it clear that it will continue buying Russian crude. Officials have stated that cheap oil is vital for the country’s growing economy and for keeping domestic fuel prices stable.
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Secret Talks of Exxon With Russia
While India is being punished for its energy ties, shocking new information has come out about America’s own energy industry. A report revealed that Exxon, the largest U.S. oil company, has been holding private discussions with Russia’s state-owned energy giant, Rosneft.
These talks reportedly focus on Exxon’s possible return to the Sakhalin oil and gas project. This is the same project that Exxon was forced to leave in 2022 after sanctions were imposed on Russia. At that time, the Russian government seized Exxon’s stake and handed it to a domestic operator.
According to the report, only a handful of Exxon executives knew about the new discussions. Negotiations have been led by one of the company’s top leaders, and they have included closed-door meetings with Rosneft officials in places such as Doha.
The U.S. Treasury has previously granted Exxon and other companies special licenses to talk to Russian firms about stranded assets. These clearances were in place even during periods when sanctions were being strictly enforced.
What makes the situation more striking is that these talks seem to have picked up momentum after the recent political changes in Washington. During private meetings, Exxon executives reportedly asked the U.S. government for support if they chose to return to Russia. Sources say they were met with sympathy.
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Exxon has a long history in Russia. Since the 1990s, the company has invested billions of dollars in oil and gas projects there. Sakhalin-1 was one of its biggest ventures, producing crude that was mainly sold to buyers in Asia. Losing that project in 2022 was considered a major blow. Now, signs are growing that the company is preparing a comeback.
Trump, Putin, And The Alaska Meeting
The news of Exxon’s behind-the-scenes dealings came shortly after a dramatic event. Russia’s president recently visited the United States and was welcomed at a military base in Alaska. This visit surprised many around the world, as the Russian leader had been isolated for years following the invasion of Ukraine.
During the visit, the U.S. president said that the two nations could expand business, especially between their Pacific coasts. Russia’s leader openly mentioned energy as an area of cooperation. The U.S. president responded with, “We look forward to dealing,” signaling clear interest in closer ties.
The meeting was seen as a symbolic win for Moscow, showing that it could still find powerful partners despite sanctions. Soon after, the U.S. president announced that a peace agreement was being discussed with both Russia and Ukraine. The proposed deal would include recognition of territories Russia has occupied since the war began, as well as recognition of Crimea as Russian territory.
At the same time, Moscow made it easier for foreign companies like Exxon to return. A decree was signed that allows international firms to once again hold shares in Russian energy ventures. The move was widely read as an invitation to Western companies to re-enter Russia’s lucrative oil and gas sector.
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For Russia, bringing Exxon back would be a major victory. For Exxon, the chance to reclaim lost projects and tap into new reserves is highly attractive.
This series of events paints a striking picture. On one hand, India is hit with crushing tariffs for buying oil from Russia. On the other hand, America’s own energy giant is preparing to re-enter Russia with apparent approval from the U.S. government. The situation has sparked questions about fairness, consistency, and whether economic interests are outweighing stated foreign policy goals.
