Countdown begins: PM Modi has 19 days to dodge Trump's 50% tariff shock: What are India's options?
Donald Trump's penalty on India is intended to squeeze Moscow's oil earnings and push President Vladimir Putin towards a ceasefire. The higher tariffs will take effect in 21 days, on August 27.
In a fresh comment on Thursday, Trump has ruled out the possibility of trade negotiations with India, until the issue of tariffs is resolved.
'No, not until we get it resolved,' Trump said in the Oval Office in response to a question on whether he expects increased trade negotiations with India since he has announced 50 per cent tariffs on the country.
On the current situation between India and the US, prominent Indian-American attorney Ravi Batra said 'much more is at stake' amid Trump's tariffs.
What's next for India?
On Thursday, Dammu Ravi, secretary of economic relations in India's external affairs ministry, told reporters that the US tariff hike 'lacks logic'.
"This is a temporary aberration, a temporary problem that the country will face, but in course of time, we are confident that the world will find solutions," he said.
He also signalled that India it may seek to rebalance its global partnerships.
On Thursday night, Prime Minister Narendra Modi and Brazil's President Luiz Inácio Lula da Silva discussed "regional and global issues of mutual interest" in a phone call, as the Latin American nation's leader maps out plans for BRICS nations to tackle the levies by Donald Trump.
Brazil, in its statement, said it and India are the most affected countries by Trump's levies and that they needed to address the challenges of the current situation.
Dammu Ravi, in his statement to the media, said, 'Like-minded countries will look for cooperation and economic engagement that will be mutually beneficial to all sides."
Putin held talks with India's National Security Adviser Ajit Doval at the Kremlin on Thursday, with Russia's state-run RIA news agency reporting that they had stressed their commitment to a "strategic partnership".
External affairs minister Subrahmanyam Jaishankar is expected to visit Russia on a prior scheduled trip. Modi is expected to host Russian President Vladimir Putin in India later this year.
PM Modi's China visit
Modi is also preparing for his first visit to China in over seven years, suggesting a potential diplomatic realignment amid growing tensions with Washington.
Modi will attend a summit of the Beijing-led regional security grouping — the Shanghai Cooperation Organisation — and hold a bilateral meeting with President Xi Jinping on the sidelines, officials in New Delhi told Bloomberg. The SCO summit is scheduled to be held in Tianjin on August 31 and September 1.
China's ambassador to New Delhi Xu Feihong gave Modi moral support over the tariffs on Wednesday.
'Give the bully an inch, he will take a mile,' Xu wrote on X over a quote from Chinese foreign minister Wang Yi denouncing the use of tariffs 'as a weapon to suppress other countries.'
PM Modi vows 'no compromise' on farmers' interests
Modi said on Thursday he will not compromise the interests of the country's farmers even if he has to pay a heavy price, in his first comments after Trump's tariffs shock.
"For us, our farmers' welfare is supreme," Modi said at an event in New Delhi.
"India will never compromise on the wellbeing of its farmers, dairy (sector) and fishermen. And I know personally I will have to pay a heavy price for it," he said.
US import taxes are one part of a multilayered tariff strategy that includes national security-based sectoral tariffs on semiconductors, pharmaceuticals, autos, steel, aluminum, copper, lumber and other goods. Trump said on Wednesday that the microchip duties could reach 100%.
China is on a separate tariff track and will face a potential tariff increase on August 12 unless Trump approves an extension of a prior truce.
He has said he may impose additional tariffs on China's purchases of Russian oil as he seeks to pressure Moscow into ending its war in Ukraine.
(With inputs from agencies)
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