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    India Responds to Trump’s Tariff Threat, Vows to Protect National Interests

    Commerce Ministry issues official statement following Trump’s tariff and Russia-related penalty warning.

    NEED TO KNOW
    • India has officially responded to President Trump’s plan to impose 25% tariffs and additional penalties on Indian goods.
    • India emphasized its commitment to a “fair, balanced, and mutually beneficial” trade agreement with the U.S.
    • The Indian government highlighted its priority to protect farmers, entrepreneurs, and MSMEs.
    • Trump cited India’s defense and energy ties with Russia as the reason for additional penalties.

    New Delhi Breaks Silence After Tariff Threat

    India’s Ministry of Commerce and Industry issued a formal statement on Wednesday addressing U.S. President Donald Trump’s recent declaration to impose a 25% tariff and an additional penalty on Indian imports starting August 1. The move, Trump said, stems from India’s “obnoxious” trade barriers and its continued military and energy dealings with Russia.

    In its response, India noted it has “taken note of the statement by the U.S. President” and is studying its implications carefully. The statement reaffirmed India’s commitment to fair trade relations, stating:

    “India and the US have been engaged in negotiations on concluding a fair, balanced and mutually beneficial bilateral trade agreement over the last few months. We remain committed to that objective. The Government attaches the utmost importance to protecting and promoting the welfare of our farmers, entrepreneurs, and MSMEs. The Government will take all steps necessary to secure our national interest, as has been the case with other trade agreements including the latest Comprehensive Economic and Trade Agreement with the UK.”

    You can read the full statement

    Trump’s Announcement Sparks Fresh Trade Tensions

    The latest escalation in U.S.-India trade tensions began on Tuesday when President Trump, via Truth Social, accused India of maintaining unfair trade practices and relying heavily on Russian defense and energy imports.

    “INDIA WILL THEREFORE BE PAYING A TARIFF OF 25%, PLUS A PENALTY FOR THE ABOVE, STARTING ON AUGUST FIRST,” Trump wrote, calling attention to India’s purchase of S-400 missiles, submarines, and oil from Moscow despite Western sanctions over the war in Ukraine.

    During an earlier exchange with reporters, Trump had said, “They will pay 25%. India has been a good friend, but India has charged basically more tariffs than almost any other country. But now I am in charge, and you just can’t do that.”

    India Balances U.S. Ties and Strategic Autonomy

    India’s position on its strategic autonomy, particularly in defense procurement, has often been a sticking point with Western allies. Despite strong cooperation with the United States in areas such as technology and security, New Delhi has maintained long-standing defense relations with Russia, dating back to the Cold War.

    Trump’s linking of trade penalties with India’s defense ties to Russia marks a significant shift in tone and raises concerns of further friction just months before U.S. presidential elections.

    Follow Virginia Times for regular news updates. Stay informed with the latest headlines, breaking stories, and in-depth reporting from around the world.

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