Trump rules out trade talks with India until tariff dispute resolved

Trump rules out trade talks with India as US imposes 50% tariffs, citing Russian oil imports

US President Donald Trump has ruled out any possibility of trade negotiations with India until the two countries resolve the ongoing dispute over tariffs.

 

The US has imposed 50 per cent tariffs on Indian goods, with the first tranche of 25 per tariffs coming into effect on Thursday. The second 25 per cent hike, imposed as a penalty for India’s purchase of Russian oil, is scheduled to come into effect on August 27.

 

When asked by a reporter whether he expected trade negotiations with India after announcing the tariffs, Trump simply shrugged and replied: “No, not until we get it resolved.”

 

His remarks came a day after the White House issued an executive order imposing the additional 25 per cent penalty, accusing India of undermining US efforts to counter Russia’s “harmful activities”. It said India’s reselling of Russian oil on the open market “at significant profit” further strengthened Russia’s economy and enabled it to fund its war in Ukraine. 

 

PM Modi's response to Trump tariffs

 

In his first response to President Trump’s decision to raise tariff rates on Indian imports, PM Narendra Modi on Thursday said India would not compromise on the interests of its farmers, fishermen or livestock rearers, even if it meant paying “a heavy personal price.”

 

“For us, the welfare of our farmers is the highest priority,” PM Modi said. “India will never compromise on the interests of its farmers, livestock rearers, and fishermen. I know that I will have to pay a heavy personal price for this. But I am ready for it.”

 

PM Modi added that the government was working to boost farmers’ incomes, reduce cultivation costs, and create new earning opportunities. “The strength of our farmers is the foundation of the nation’s progress,” he said. 

 

India terms US action ‘unfair’

 

The Ministry of External Affairs (MEA) called the US decision “unfair, unjustified and unreasonable” and said New Delhi would take “all actions necessary to protect its national interests.”

 

“The United States has in recent days targeted India’s oil imports from Russia,” the MEA said. “We have already made clear our position, including the fact that our imports are based on market factors and aimed at ensuring the energy security of 1.4 billion people of India.”