Tensions Rise Over US-India Tariff Tussle

Samajwadi Party MP Ram Gopal Yadav voiced strong criticism against the Indian government's handling of trade relations with the US on Wednesday. This comes in the wake of US President Donald Trump's remarks about imposing tariffs on Indian goods, which Yadav argues is a sign that Indian leadership has capitulated to Trump's dictates, lacking the backbone to confront the US president on his claims.

According to Trump, India has been levying significant tariffs on US goods, prompting a proposed 20% tariff on Indian exports to the US. Yadav urged the Indian government to adopt a firmer stance in dealing with Trump's assertions, highlighting the necessity for resolute measures to safeguard India's interests. "Our leadership appears to have surrendered before Donald Trump. They lack even the courage to challenge Trump's falsehoods. The Indian government must act decisively," he stated.

Trade talks between the US and India are ongoing, with the US seeking improved access for its goods in Indian markets. Trump's taxation plans could severely affect Indian exports, with potential tariffs ranging from 20% to 26% on Indian products. Such measures may lead to higher costs for Indian businesses and consumers, potentially hindering the nation's economic progress.

Approaching a self-imposed August 1 deadline, President Trump expressed optimism about the US-India trade deal, despite indicating possible tariffs of 20% to 25% on Indian exports. While interacting with the press aboard Air Force One, Trump responded to reports hinting at India preparing for reciprocal tariffs. He accused India of historically high tariffs on US goods, declaring that such practices will change under his administration.

Interestingly, Trump has not formally notified India of any specific tariff impositions, although he has communicated this to other countries. Trump acknowledged India's past as a good ally but criticized its tariff rates as disproportionate. "I'm in charge now, and this can't continue. But the ongoing trade deals show promising cooperation," Trump noted.

Back on April 22, Trump imposed a 26% tariff on Indian imports but later paused these reciprocal duties. Meanwhile, Union Commerce Minister Piyush Goyal highlighted ongoing trade discussions with the US, noting they are progressing well. Goyal emphasized India's strength and confidence in negotiating favorable trade agreements. "Our discussions with the United States are advancing positively," he asserted.

(With inputs from agencies.)