THE TRUMP FACTOR
But Indian officials worry that any fresh energy and defence deals with Russia could trigger a reaction from US President Donald Trump, who doubled tariffs to 50 per cent in August on Indian goods, as punishment for New Delhi’s purchases of Russian crude.
Ahead of Putin’s visit, officials of both sides held talks in areas from defence to shipping and agriculture. In August, they agreed to launch talks for a free trade deal between India and the Russian-led Eurasian Economic Union.
They are also in talks to expand their partnership in civilian nuclear energy, Indian analysts have said.
Putin’s delegation includes the chief executives of dominant Russian lender Sberbank and state arms exporter Rosoboronexport, as well as the heads of sanctioned oil firms Rosneft and GazpromNeft, an industry source with direct knowledge of the matter said.
Ahead of the visit, Sberbank said it was interested in investing in Indian infrastructure projects making use of rupees, in which a big chunk of two-way trade is settled.
India CEO Ivan Nosov said Sberbank was also extending rupee loans to Russian exporters and local units to boost Indian sales of Russian products.
Moscow is likely to seek India’s help to get technical equipment for its oil assets, as sanctions have choked access to key suppliers, said the industry source and a separate Indian government source.
India is likely to pitch for the restoration of a stake of 20 per cent for state gas explorer ONGC Videsh Ltd in the Sakhalin-1 project in Russia’s far east, the government source added.
India hopes to sign a US trade deal by the year’s end, as most of its refiners have stopped buying Russian oil, though widening discounts are now drawing in some state refiners.
The sources sought anonymity as they were not authorised to speak to the media.
https://www.channelnewsasia.com/asia/india-russia-putin-visit-oil-energy-defence-talks-5522051
