Sanctions on nations buying Russian oil can hurt Moscow economy: Bessent

US Treasury Secretary Scott Bessent on Sunday said that the Russian economy will collapse if Washington and the European Union impose more secondary sanctions on countries that buy crude oil from Moscow.

Bessent, in an interview to NBC News, said that President Donald Trump and Vice President J D Vance had a very productive call with President of the European Commission Ursula von der Leyen, who followed up with a call with him on Friday and they discussed what the US and European Union (EU) could do to put more pressure on Russia.

The Trump administration has imposed an additional 25 per cent tariff on India for its purchases of Russian oil on top of the 25 per cent reciprocal tariffs announced earlier, bringing the total duties imposed on New Delhi to 50 per cent, with effect from August 27.

The treasury secretary said the US is prepared to increase pressure on Russia, but we need our European partners to follow us.

We are in a race now between how long can the Ukrainian military hold up versus how long can the Russian economy hold up, Bessent said.

He added that if the US and the EU can come in, do more sanctions, secondary tariffs on the countries that buy Russian oil, the Russian economy will be in full collapse and that will bring President (Vladimir) Putin to the table.

Trump has said that he is very disappointed" that India would be buying "so much" oil from Russia.

We put a very big tariff on India, 50 per cent tariff, very high tariff. I get along very well with (Prime Minister Narendra) Modi, he's great. He was here a couple of months ago, Trump said in the Oval Office on Friday.

The president was responding to a question on whether he is ready to reset relations with India, as ties between the two countries continue to reel under possibly the worst phase in over two decades.

Several of the Trump administration's officials, including Bessent and trade advisor Peter Navarro, have said that India's purchases of Russian oil are financing the Russian war effort in Ukraine.

India has called the tariffs imposed by the US unjustified and unreasonable.

Defending its purchase of Russian crude oil, India has been maintaining that its energy procurement is driven by national interest and market dynamics.