U.S.–India trade tensions escalated after President Donald Trump announced a 50% tariff on a broad range of Indian exports, citing New Delhi’s continued purchases of cut-price Russian crude. A separate 25% levy now applies to imports that Washington links to Russian oil, intensifying pressure on India, which buys roughly 90% of its crude abroad. U.S. Treasury Secretary Bessent said India had been “reluctant” in trade negotiations, a sign talks are effectively stalled. The dispute has centred on agriculture and dairy market access, areas in which Prime Minister Narendra Modi insists he will not compromise, arguing the measures protect Indian farmers. India’s Chief Economic Adviser said the government is in discussions with exporters affected by the new duties and is preparing relief measures. Officials acknowledged heightened “trade uncertainty” but indicated New Delhi remains open to further negotiations while delineating clear red lines. Policy analysts warn that the tariff salvo could have lasting effects on the strategic partnership, especially as Washington courts Islamabad and Beijing. Some Indian commentators say the move has already prompted New Delhi to tighten localisation rules for foreign energy investors and to explore alternative trade alignments.
#Opinion | @andymukherjee70 writes that #PMModi’s stand against #Trump’s 50% tariff aims to shield farmers, but #India’s cotton-dependent textile exports and farm incomes face risks, exposing tensions between protectionism and global market realities. https://t.co/5pgXonIwwm https://t.co/dmF4Y1Cypx
What may be more troubling than the #tariffs themselves is President #Trump's invocation of #India's #energy ties with #Russia: Harsh V. Pant & @viveksans https://t.co/iLWWhLOu59
🚨 TRUMP’S TARIFF GAMBIT SPARKS ECONOMIC BACKLASH Trump’s 50% tariff on Indian imports—triggered by Delhi’s Russian oil purchases—has blindsided U.S. consumers and exporters alike, with Treasury Secretary Bessent unable to clarify who bears the cost. The move is eroding trust https://t.co/WZvL4VLh3W