India is one of the two countries with the highest trade tariff rate imposed on him by US President Donald Trump, the other is Brazil – both are facing 50% of their duties on their exports to the United States.
India has found itself especially at the center of Trump’s anger as it cites oil purchases from Russia as its reason that the countries buying from Russia are “fueling the war machine” against Ukraine.
Trump is to meet Russian President Vladimir Putin in a few weeks, however, and the attack on Ukraine is likely to be the major agenda items. A deal there can trump Russian-oil arguments for punitive tariffs.
Meanwhile, Indian Prime Minister Narendra Modi spoke to Luiz Eneasio Lula Da Silva of Brazil over the phone on Thursday. He allegedly discussed the tariff among other things.
India has repeatedly argued that the US steps – Trump increased 25% as tariffs for now, and another 25% “penalty” that later kicks in August – is incompatible in his logic.
For example, European countries, Russian raw also imports.
And China has not yet faced punitive tariffs despite leading the world in energy purchase from Russia.
US Commerce Secretary Howard Lutnik has actually stated that the deals being worked with China can be extended for another 90 days.
Both Russia and China, the major power centers that want to compete with the US in a fast multipolar world, have so far accepted or accepted India’s position.
Russian spokesperson Dimitri Peskov told news agency AFP, “Sovereign countries have the right to choose their own trade partners.”
Chinese Ambassador to India, Joo Fihong, obviously took a shot in Donald Trump in a social media post on Thursday, on the day 25% of the first round of tariffs came into force on India.
“Give an inch to threatening, he will take a mile,” Ju Faheong posted on X.
Analysts believe that tariffs are being used as a strategy of interaction at this level as the trade with Russia continued despite the Ukraine War beginning in 2022.
“Other countries such as China, and the European Union, even America, are importing Russian oil and other items,” said Shashi Mathews, a partner in the taxation firm CMS Indsalow. Financial express,
He said, “It appears that it was more than a conversation strategy … to take advantage of the ongoing business talks, after 21 days, looking at the tariff kick,” he said.
