President Donald Trump has announced his intent to “very substantially” increase tariffs on India within the next 24 hours, a decision he linked to India’s continued purchase of Russian oil. Speaking in a CNBC interview, Trump criticized India, stating, “India has not been a good trading partner, because they do a lot of business with us, but we don’t do business with them.”
This declaration follows Trump’s earlier remarks on raising U.S. tariffs on India. He has accused India of purchasing Russian crude oil at discounted rates, refining it, and then exporting the finished products at a profit. This move intensifies existing trade tensions between the two nations and brings the geopolitical complexities of the global energy market to the forefront.
India’s Foreign Ministry Criticizes ‘Hypocrisy’
In a swift and sharp response, India’s foreign ministry has criticized both the United States and the European Union. The ministry accused these nations of unfairly targeting Indian refiners for their exports. It highlighted that India’s imports are a response to global market demands and are not driven by political agendas.
The ministry further pointed out what it called “hypocrisy,” noting that those who criticize India for its trade with Russia are themselves involved in similar commerce, even when such trade is not a necessity for their economies.
Trade Relations Under Scrutiny
The relationship between the U.S. and India has been under increasing strain due to persistent concerns over trade imbalances. Trump’s proposed tariff hike is a significant escalation, underscoring the American belief that the trade benefits between the two countries are not reciprocal.
This latest development highlights the intricate balance of international trade and energy politics. As nations like India navigate complex global market conditions and geopolitical pressures, decisions like this from a major global power can have substantial economic and political ramifications worldwide. Sources
