Showing posts with label US tariffs on India. Show all posts
Showing posts with label US tariffs on India. Show all posts

Thursday, January 8, 2026

Delhi Maintains Silence After Trump’s Remark on PM Modi, Chooses Diplomacy Over Reaction

 



New Delhi has opted for restraint after U.S. President Donald Trump made a controversial remark suggesting that Prime Minister Narendra Modi had personally sought a meeting with him. The comment has caused unease within political circles in India, but the government has decided — at least for now — not to issue a formal response.

In his latest statement, Mr. Trump claimed that Prime Minister Modi had approached him saying, “Sir, may I see you please,” a remark that was seen in Delhi as dismissive and unnecessary. Despite growing political calls for a strong rebuttal, India’s diplomatic establishment has advised caution, arguing that reacting publicly would serve little purpose.

This is not the first time Mr. Trump has made remarks critical of India. Earlier this week, he said Mr. Modi was “not very happy” with him following Washington’s decision to raise tariffs on Indian goods to 50 per cent, citing India’s continued purchase of Russian oil. The latest 25 per cent penalty was imposed on top of existing duties, significantly escalating trade tensions.

Mr. Trump also claimed that India had been waiting for five years to receive Apache helicopters from the United States and said New Delhi had ordered 68 of them. Indian government sources quickly disputed this account, stating that India had only purchased 28 Apache helicopters — 22 for the Indian Air Force and six for the Indian Army — and that all of them had already been delivered.

According to official records, the first deal for 22 Apache helicopters was signed in September 2015 during the Obama administration, with deliveries completed during Mr. Trump’s first term as President. The second agreement for six helicopters was signed during Mr. Trump’s visit to India in February 2020. While deliveries under this contract were delayed, the helicopters were handed over by December 2025, not in early 2024 as suggested by Mr. Trump. In fact, the issue of delivery timelines was discussed during Prime Minister Modi’s visit to Washington in February 2025.

Despite the inaccuracies, senior officials believe that responding publicly would be counter-productive, especially at a time when India and the United States are still negotiating a broader trade agreement. “There is no need to react to every statement or provide a running commentary on what the U.S. President says,” a government source said, adding that India’s focus remains firmly on trade talks.

Mr. Trump has made similar remarks in the past. In August 2025, he claimed to have warned Mr. Modi that the U.S. would impose extremely high tariffs and abandon trade negotiations. He also asserted that he personally intervened to prevent an India-Pakistan conflict, a claim New Delhi has repeatedly rejected.

Although Indian officials have, on occasion, fact-checked Mr. Trump’s statements, they acknowledge that such corrections have not stopped him from continuing to make sweeping claims, including taking credit for easing tensions between India and Pakistan in May 2025.

Speaking in Luxembourg on Wednesday, External Affairs Minister S. Jaishankar addressed the broader issue without naming Mr. Trump directly. He noted that countries far removed from the region often comment on South Asian tensions without examining instability closer to home. “People sitting far away will say things — sometimes thoughtfully, sometimes carelessly, sometimes out of self-interest,” he said.

Referring to Operation Sindoor, Mr. Jaishankar recalled how several countries offered unsolicited advice to India. “That is the nature of the world,” he said. “What people say is not always what they do. We accept it and move on.”

For now, Delhi appears determined to stay the course — prioritising diplomacy, trade negotiations, and long-term interests over sharp public exchanges.

Saturday, September 27, 2025

India–US Trade Deal Could Include Oil Bargain, Says New Jersey Governor

 


India-US Trade Talks Could Lead to Oil Bargain, Says New Jersey Governor

The future of India–U.S. trade relations may involve more than just resolving tariff disputes. According to New Jersey Governor Phil Murphy, a senior Democratic leader and vocal critic of President Donald Trump’s trade policies, both nations could strike a broader deal that includes oil as part of the negotiations.

Speaking on Wednesday, Murphy suggested that while there is room to compromise on the stiff tariffs currently weighing down bilateral trade, the talks could evolve into a “grand bargain” that extends to the energy sector.

The backdrop to this is Trump’s recent decision to impose a 25% penalty tariff on India for continuing to import oil from Russia. The move was part of Washington’s wider push to penalize countries seen as helping Russia bypass Western sanctions. But for India, which relies heavily on energy imports to meet its growing demand, Russian oil has been an affordable and vital option.

Murphy, who has often positioned himself against Trump’s hardline economic policies, made it clear that he disagreed with the idea of punishing allies like India with high tariffs. “When it comes to the India–U.S. trade deal, there will be a landing place on tariffs,” he said, adding that the solution may not be as simple as lowering taxes on goods. Instead, the governor hinted at a more strategic compromise that ties together trade, energy, and broader geopolitical interests.

The Tariff Tussle

India and the U.S. have had a bumpy trade relationship in recent years, with disputes ranging from agricultural products to tech and pharmaceuticals. Trump’s tariffs — especially the latest ones on oil imports — have added more friction. For Washington, the tariffs are a way to apply pressure; for New Delhi, they are seen as unfair punishment, especially given India’s role as a long-time U.S. partner in Asia.

The 25% tariff in particular stings because of India’s unique energy needs. As the world’s third-largest oil importer, India cannot easily replace Russian crude without driving up domestic fuel prices. While the U.S. would prefer India to shift more of its purchases to American suppliers, the sudden cost jump makes it difficult for New Delhi to comply.

Oil at the Center of the Deal

This is where Murphy’s idea of a “grand bargain” comes in. Instead of wrangling endlessly over tariffs, the U.S. and India could negotiate an arrangement that involves long-term commitments on energy. For instance, India could agree to increase imports of American oil and gas, while the U.S. could ease tariffs on other goods or services important to New Delhi. Such a compromise could balance both nations’ economic and strategic priorities.

Energy trade is already becoming a pillar of the India–U.S. relationship. In recent years, India has significantly increased imports of liquefied natural gas (LNG) and crude oil from the U.S., diversifying its energy basket. A formalized bargain could lock in those trends while easing the current tension over Russian supplies.

Looking Ahead

Murphy’s comments underline a growing split in Washington over how best to deal with allies like India. While Trump sees tariffs as leverage, critics argue that such heavy-handed tactics risk alienating partners at a time when global cooperation is vital.

For India, the big question is whether Washington is willing to recognize its energy realities. Any grand bargain will need to acknowledge that India cannot abruptly cut ties with Russian oil without major economic costs. But if the U.S. offers a fair deal — lower tariffs, more access to American energy, and perhaps concessions in other trade areas — there may be a path forward.

As the world watches the unfolding U.S.–India talks, Murphy’s suggestion adds a new dimension: this may not just be about tariffs and trade but also about reshaping the global energy equation.

Saturday, August 23, 2025

Trump Picks Trusted Aide Sergio Gor as Next US Ambassador to India

 


Trump Nominates Sergio Gor as Next US Ambassador to India

US President Donald Trump has named Sergio Gor, one of his closest aides, as his choice for the next American ambassador to India. The announcement was made by Trump himself on Truth Social late Friday, marking another key diplomatic appointment seven months into his second term in office.

Gor, 38, currently serves as the director of the White House Presidential Personnel Office, a position he will continue to hold until the Senate confirms his nomination. Known for his long association with Trump and his inner circle, Gor has played a central role in personnel decisions and is considered a trusted political loyalist.

His selection comes at a particularly sensitive time in US-India relations. Ties between Washington and New Delhi have deteriorated sharply in recent months following the Trump administration’s decision to impose steep 50 percent tariffs on Indian goods. The move has triggered tensions on both sides, with India criticizing the tariffs as unfair and retaliatory measures being considered.

By nominating Gor, Trump appears to be signaling his preference for an envoy who shares his worldview and can be relied upon to push forward the administration’s agenda without hesitation. While Gor has limited diplomatic experience, his background in political strategy and his close relationship with the President could give him significant influence in shaping bilateral talks.

For India, the appointment will be closely watched. New Delhi will want to see whether Gor’s tenure will open the door for renewed dialogue or further harden Washington’s stance on trade disputes. Analysts say the ambassador’s role will be crucial not only in addressing economic tensions but also in managing cooperation in defense, technology, and regional security—areas where both countries have common interests despite current strains.

If confirmed, Gor will succeed former Ambassador Eric Garcetti and step into one of the most important diplomatic postings in Asia. His performance in New Delhi could set the tone for how the Trump administration intends to manage one of America’s most consequential partnerships over the next four years.

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