The immense power of oil is on full display, as it simultaneously shapes US relations with both Russia and India in dramatically different ways. For one, it is a tool of punishment; for the other, it is an instrument of negotiation.
With India, oil is the justification for a trade war. The country’s decision to import Russian oil has led to the imposition of 50% tariffs by the Trump administration, a clear use of economic muscle to enforce a foreign policy preference.
With Russia, oil is the centerpiece of a diplomatic gambit. The prospect of renewed investment in Russia’s oil sector, symbolized by the potential return of Exxon Mobil, is being used as a key incentive to encourage peace talks over Ukraine.
This dual use of energy as both a weapon and a bargaining chip highlights its central role in modern geopolitics. The flow of oil is not just an economic issue but a powerful force that can forge alliances, create conflicts, and reshape the international order.