India is engaged in trade talks with the United States after Washington imposed a 25% tariff on New Delhi, a move that could impact about $40 billion worth of the South Asian country's exports, an Indian government source with knowledge of the trade discussions told Reuters on Friday.

(Reuters) -Indian officials have said they would keep purchasing oil from Russia despite the threat of penalties that U.S. President Donald Trump said he would impose, the New York Times reported on Saturday. Reuters could not immediately verify the report.

Indian officials confirmed Saturday the country is not altering policy and will continue buying oil from Russia, despite threats of a financial "penalty" from U.S. President Donald Trump.