The Trump administration has not spared India from tariff war escalations, and New Delhi is struggling to hedge beyond the US
On “Liberation Day” on April 2 when United States President Donald Trump formally announced an unprecedented tariff policy, Trump highlighted a “discounted” 26 per cent reciprocal tariff on India, saying that despite Indian Prime Minister Narendra Modi being a great friend, the country supposedly charges the US “52 per cent” in tariffs.
In response, the Indian Ministry of Commerce and Industry said it was studying the implications and stressed that New Delhi valued its partnership with the US. However, it is reasonable to infer that India was disappointed. The country’s opposition leader Rahul Gandhi said the US tariffs would “completely devastate” India’s economy.
Since then, Trump has announced a 90-day reprieve on “reciprocal” tariffs on most countries. But this is unlikely to reassure New Delhi about the trajectory of the bilateral relationship.
In February, Modi visited Washington, becoming the fourth world leader to meet Trump since his re-election. At the time, India and the US appeared to achieve several major diplomatic successes. Yet, over a month later, it’s clear the US-India relationship has not genuinely improved. The momentum established during the Joe Biden administration has significantly diminished.
After Trump’s re-election, Indian Foreign Minister Subrahmanyam Jaishankar said India was not among the countries that were nervous about Trump’s return to the White House. The Indian government proactively engaged with Trump’s team, visiting the US and willingly making concessions on tariffs. New Delhi perhaps hoped for exemptions similar to those enjoyed under Biden, who shied away from criticising the Indian government’s human rights record.
