Trump’s use of tariffs as a tool to boost US power has been broader than previously known, with the Trump administration’s tariff policy also aiming for national security goals and favoring interests of certain companies, as reported by The Washington Post, citing some government documents. Meanwhile, India is considering tariffs on US goods as recourse against the US’s 50 percent tariffs on steel, aluminum, and their derivatives that India imposed in June, as per people aware of the matter.
If India takes these steps, it would be the first time it has responded back since Donald Trump introduced 50 per cent tariffs on India, with half of that amount as a punishment for doing business with Russia. However, the taxes on steel and aluminium have become a separate trade issue at the World Trade Organization. American economist Jeffrey Sachs has said that India does not gain any security advantages by joining the United States in the Quad group against China. “India is a major power with its own global position. Everything Trump is doing with tariffs is against the Constitution,” said Sachs.
Economist Jeffrey Sachs has warned that India may not gain any security benefits from aligning with the United States in the Quad against China. “India is a powerful country that has an independent standing globally. Everything that Trump is doing with tariffs is unconstitutional,” stated Sachs.US President Donald Trump ruled out the possibility of trade negotiations with India unless the matter of tariffs is resolved. When asked by a reporter whether he expects increased trade negotiations with India after announcing 50% tariffs, Trump replied, “No, not until we bring it under control.”
India’s former vice-president, M Venkaiah Naidu, responded to the US’ tariffs on India, stating that the country will not be intimidated. “We will protect energy security and remain steadfast in our strategic and national interests,” PTI quoted him as saying.Former US National Security Advisor John Bolton criticized the US’ tariffs on India, calling it a “huge mistake.” In a CNN interview, he noted that the secondary tariff, meant to target Russia, could instead push India closer to Russia and China, and potentially lead them to engage with the US in a coordinated effort.India’s former vice-president M Venkaiah Naidu, responding to the US’ tariffs on India, stated that the country will not acquiesce to any threats. “We will safeguard energy security and stand firm on our strategic and national interests,” said PTI.Former US National Security Advisor John Bolton has called the tariffs on India an “enormous mistake.” In an interview with CNN, he said the tariffs, intended to target Russia, might bring India closer to Russia and China, and could encourage them to negotiate with US together.
Key Points
The United States imposed 25 per cent tariffs on Indian imports, and later announced additional 25 per cent tariffs on August 6, as a punishment for India’s procurement of Russian oil, taking the total tariffs on India to 50 per cent.
The initial 25 per cent tariffs came into effect on August 7, and the remaining 25 per cent will take effect on August 27.
India has called the US move as “unfair, unjustified, and unreasonable.
” The US also aims to pressure Russia to end the war in Ukraine by economic means.
United States President Donald Trump will meet with his Russian counterpart, Vladimir Putin, in Alaska on August 15.
The announcement of the meeting came after Trump claimed on Truth Social that “we’re getting very close” to a peace deal.
Meanwhile, Prime Minister Narendra Modi held a phone conversation with Russian President Vladimir Putin to discuss various issues.
