'Vance, Navarro, even Trump stalled trade deal with India': US Senator

In a leaked recording, Cruz warned donors that Trump's tariff policy could seriously harm the US economy and even put the president at political risk

United States (US) Senator Ted Cruz blamed Vice President JD Vance, White House Economic Adviser Peter Navarro, and at times even President Donald Trump for slowing down trade talks with India.

 

According to an Axios report, Cruz made these remarks in a private conversation with donors that lasted nearly 10 minutes. The recording was shared by a Republican source and dates back to early and mid-2025.

In the recording, Cruz openly speaks about internal disagreements within the administration over trade policy.

 

According to the report, Cruz named Navarro and Vice President Vance for "battling" the White House to accept a trade agreement with India. He even said that Trump himself was “sometimes” part of the resistance.

 

 

During the conversation, Cruz, who is eyeing a 2028 White House run, presented himself as a traditional Republican who supports free trade and US global engagement, while distancing himself from Vance’s more inward-looking approach.

Warning over Trump’s tariffs

Cruz warned donors that Trump’s tariff policy could seriously harm the US economy and even put the president at political risk, the report said. He said the tariffs could trigger economic damage severe enough to lead to impeachment pressures.

 

Cruz recalled that after Trump announced new tariffs in early April 2025, he and a small group of senators held a late-night call with the president to urge him to reconsider. According to Cruz, the call did not go well and continued past midnight.

 

During the call, Cruz said Trump was angry, shouting and using strong language. He told donors that Trump was in a particularly bad mood during the conversation, unlike other interactions they had shared in the past.

 

Cruz said he warned Trump that if Americans saw their retirement savings fall sharply and food prices rise significantly, the political consequences would be severe. "Mr President, if we get to November of [2026] and people's 401(k)s are down 30 per cent and prices are up 10–20 per cent at the supermarket, we're going to go into Election Day, face a bloodbath," Cruz told Trump.

 

"You're going to lose the House, you're going to lose the Senate, you're going to spend the next two years being impeached every single week," he added. The US President reportedly responded sharply to this statement.

India–US relations

The comments come at a time when India–US trade relations remain strained. The US imposed a 50 per cent tariff on Indian goods starting in August last year. This included a 25 per cent penalty linked to India’s imports of Russian crude oil and defence equipment.

 

Although both countries publicly describe their relationship as friendly and ongoing negotiations continue, a broad trade agreement has yet to be finalised. Indian textile and seafood exports have been the worst affected by the tariffs. Other sectors, such as gems and jewellery, along with automobile components, have also faced strong pressure.

 

Recently, US Treasury Secretary Scott Bessent suggested that the extra 25 per cent tariff on India could be removed. He said India’s purchases of Russian oil by its refineries have dropped sharply, calling the tariff move a success.

 

Speaking to Politico, Bessent said there appears to be a pathway for lifting the additional tariffs, hinting that some relief for Indian exporters could be on the horizon, even though the tariffs remain in place for now.