SEATTLE (Oil Monster): Given the global market conditions impacted by tariffs and sanctions, the Indian oil giant Reliance Industries has issued a warning that disruptions in the oil trade could pose a threat to the supply of crude oil. The business is concerned that the aforementioned variables may also have an effect on refining profitability.
Crude oil price volatility has been caused by sanctions, frequent changes to tariff regulations, and shifting output decisions by OPEC and OPEC+ nations, according to the company's annual report. The market sentiment has been further depressed by the U.S. administration's recent tariff announcement.
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A 25 percent tariff rate went into force on Thursday in accordance with an order that U.S. President Donald Trump signed last week. The United States declared an additional 25% tariff on Indian imports in retaliation for India's continued energy relations with Russia. By the end of August of this year, the recently announced tariffs will go into effect. India was accused by the U.S. administration of breaking sanctions by both directly and indirectly buying crude oil from the Russian Federation.
According to Goldman Sachs' projections, the new tariffs imposed by the U.S. government will cause a 0.3% decline in India's annual GDP growth.
