'President won't budge if..': Trump advisor's new warning to India
What's the story
United States President Donald Trump's top economic advisor, Kevin Hassett, has issued a stern warning to India, saying if it doesn't curb its Russian crude oil trade, Trump will not ease his stance on the already imposed punitive tariffs. "If the Indians don't budge, I don't think President Trump will," he said. The US National Economic Council Director called trade negotiations with India "complicated" while accusing the country of being "intransigent" in opening its markets to American products.
Negotiation process
Ongoing trade negotiations likened to a marathon
"Part of it has been tied to the pressure we've been trying to put on Russia in order to secure a peace deal and save millions of lives. And then there's the Indian intransigence about opening their markets to our products," he said. Hassett likened the ongoing trade negotiations between India and the US to a marathon. He said these talks require a long-term outlook and acceptance of "ebbs and flows" before reaching a final position. The remarks were similar to those made by US Treasury Secretary Scott Bessent earlier, who said high tariffs on India stem from not just its Russian oil purchases but also protracted trade deal talks.
Treasury Secretary
India tapped us along: Treasury secretary
The remarks were similar to those made by US Treasury Secretary Scott Bessent earlier, who said high tariffs on India stem from not just its Russian oil purchases but also protracted trade deal talks. "I'd thought we'd have a deal in May or June; that India could be one of the earliest deals. But they, kind of, tapped us along," Bessent said on Wednesday.
Tariff increase
US has doubled tariffs on Indian goods
The United States has doubled tariffs on Indian goods to a staggering 50%. This is the highest tariff for any country except Brazil. This includes a 25% additional duty related to India's purchase of Russian crude oil, which came into effect on Wednesday. The Indian government has criticized the action as "unfair, unjustified, and unreasonable," estimating that the tariffs will affect more than $48 billion in exports.
India's response
India will not bow to US pressure
According to The Associated Press, Indian officials have warned that the increased tariffs may render exports to the United States commercially unviable, resulting in job losses and delaying growth in the world's fifth-largest economy. At the same time, India has made it clear that it will not bow to US pressure. Prime Minister Narendra Modi has said he would "never compromise" on the interests of farmers.