Desk Report,
How India now wants to win over Trump
India is now considering some options to appease the US. For example, increasing imports of goods from that country. However, India has no immediate plans to take countermeasures after President Donald Trump suddenly announced a 25 percent tariff on India. This is what several Indian officials involved in the talks said.
How India now wants to win over Trump
Officials in New Delhi say they are surprised and disappointed by Trump’s announcement. The government is now keen to keep trade talks between the two countries on track and is looking for ways to buy more goods from the US.
Sources say India is considering increasing imports of natural gas, communication equipment and gold from the US. This will reduce India’s trade deficit with the US somewhat in the next three-four years. However, they say there are no plans to buy any new defence equipment. Officials in New Delhi say India will not react immediately to Trump’s tariff threat. However, they have reserved their rights at the World Trade Organization (WTO) to respond to additional tariffs on US steel and cars in the future, if necessary.
Indian Commerce Minister Piyush Goyal, who was optimistic about the deal with the US even a few days ago, told Parliament on Thursday, “We are examining the impact of the current situation. Opinions are being taken from exporters and industry groups. All necessary steps will be taken to protect national interests and progress.” It is not yet certain whether this move by India will win Trump’s heart or not. Despite the alleged friendly relationship between Trump and Modi, the US president complained last Wednesday that India’s tariffs are too high and their trade barriers are “difficult and annoying.” He further warned that punitive measures will be taken against India for buying energy and weapons from Russia.
Later, Trump told reporters that talks between the two countries were ongoing and a final decision would be made by the end of the week; but after that, he wrote on his own social media platform Truth Social, “I don’t care what India does with Russia.” He referred to India and Russia as “dead economies.”
India’s trade deficit with the United States last year was about $43 billion. India is 11th on the list of countries with a trade deficit. The US trade deficit with Vietnam is $121 billion. Trump announced 20 percent retaliatory tariffs on Vietnam earlier this month.
US Treasury Secretary Scott Besant said on Thursday that India is the reason for the slow pace of trade talks. He told CNBC that the entire trade group is disappointed with India. He said that the next step will have to be taken by India. He complained that India is “not a good global partner,” citing India’s close ties with Russia.
