Unfair and unwarranted: US action will result in undesirable outcomes

The initial imposition of a higher 25 per cent tariff last week was also devoid of economic logic

Even before the 25 per cent tariff on Indian exports to the United States (US) took effect on August 7, US President Donald Trump signed an executive order imposing an additional 25 per cent ad valorem duty as penalty for importing Russian crude oil. This additional tariff will come into effect on August 27. Put together, Mr Trump has pushed India to an extremely difficult spot for reasons that are difficult to explain rationally. The reasoning is that India’s purchase of Russian oil is helping Russia fund the Ukraine war. Put differently, if India stopped buying Russian oil, it would