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Supported by Brics, like-minded allies: Russia amid Trump's tariff threats
Foreign Ministry Spokeswoman Maria Zakharova made these remarks in response to a media question regarding the tightening of tariffs by the Trump administration towards the countries of the Global South.
Zakharova noted, "Sanctions and restrictions have, unfortunately, become a defining feature of the current historical period, impacting countries across the globe."
She further added that Washington is unable to accept the erosion of its dominance in an emerging multipolar international order and is continuing to pursue a neocolonial agenda, employing politically motivated economic pressure against those who choose an independent course on the international stage.
Remarks from Russia's foreign ministry come days after Trump announced sweeping new tariff rates on dozens of countries, including India. On August 1, Trump imposed a 25 per cent tariff on Indian goods, adding that the latter would also have to pay a penalty for its continued trade with Russia amid Moscow's ongoing war with Kyiv, which has now entered the fourth year.
Zakharova also added, "Such actions by the United States represent a direct infringement on the sovereignty of other nations and an attempt to interfere in their internal affairs. Beyond these concerns, this policy risks slowing global economic growth, disrupting supply chains, and deepening the fragmentation of the international economic system."
Russia exits the INF Treaty with the US
Russia also announced its exit from the 1987 Intermediate-Range Nuclear Forces (INF) Treaty with America. Russia's foreign ministry stated that it believes that the conditions required to maintain the INF Treaty have "disappeared."
The exit from the treaty came days after Trump ordered the deployment of two nuclear submarines to "be positioned in the appropriate regions" near Russia. Trump's order to deploy the nuclear submarines came after former Russian president Dmitry Medvedev accused Trump of playing a "game of ultimatums" with Moscow.
US-India trade ties strained
Amid the ongoing global tensions, the US has also accused India of its continuous trade with Russia. In a post on Truth Social, Trump said, "Remember, while India is our friend, we have, over the years, done relatively little business with them because their Tariffs are far too high, among the highest in the World, and they have the most strenuous and obnoxious non-monetary Trade Barriers of any Country. Also, they have always bought a vast majority of their military equipment from Russia, and are Russia's largest buyer of ENERGY, along with China, at a time when everyone wants Russia to STOP THE KILLING IN UKRAINE — ALL THINGS NOT GOOD! INDIA WILL THEREFORE BE PAYING A TARIFF OF 25%, PLUS A PENALTY FOR THE ABOVE, STARTING ON AUGUST FIRST."
In a separate post, he doubled down on both India and Russia and said, "I don't care what India does with Russia. They can take their dead economies down together, for all I care. We have done very little business with India; their Tariffs are too high, among the highest in the world."
India counters Trump's claims
The Ministry of External Affairs (MEA) criticised Trump's "dead economy" remark, reminding the US that when India started importing oil from Russia at the outbreak of the conflict, Washington encouraged such trade. Calling Trump's statements "unjustified and unreasonable', India defended its oil imports from Russia, saying they were driven by national necessity and were far smaller in scale compared to the West's energy purchases.
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Similarly, the South Korean EXIM Bank manages the Supply Chain Resilience Fund (SCRF), allowing exporters to respond swiftly to trade wars and geopolitical conflicts,' she a similar view, Shravan Shetty, Managing Director, Primus Partners, said that the fund can prove beneficial, especially for vulnerable segments like textiles, gems & jewellery, and auto ancillaries, wherein production-linked schemes can help provide relief. 'The funds can also be deployed for strategic trade promotion activities and brand-building in alternate markets, such as Africa, the UK, the European Union, and Central Asia,' he Sen, Trade Policy Leader at EY India, emphasised the importance of understanding what percentage of this fund percolates down to the actual exporters who need it. This is important, given the undefined nature of the new Trump tariff regime, he said. 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Margins in the industry are a slim 4-5%, making it impossible to absorb such steep tariff hikes, and exporters fear a significant long-term loss of market share, with Ecuador likely to replace India as the top shrimp supplier to the US,' pointed out added that the government's Rs 20,000-crore scheme will focus on making export credit accessible, enhancing brand building, and addressing non-tariff barriers. The aim is to provide liquidity, promote market diversification, and support value addition. 'While this injection can help tide over some immediate financial distress, industry experts warn it cannot fully compensate for the cost disadvantage created by the high US tariffs and ongoing oversupply and price drops due to Ecuador's surge in production and exports,' he said.
