Washington’s trade standoff with New Delhi has deepened after a top aide to President Donald Trump cautioned that India’s reliance on Russian crude could jeopardise any chance of tariff relief.
Kevin Hassett, director of the White House National Economic Council, said ongoing negotiations with India were “complicated,” accusing New Delhi of refusing to ease market access for American goods.
“If the Indians don’t budge, I don’t think President Trump will,” Hassett remarked, as the administration on Wednesday announced it would double tariffs on Indian imports to 50 per cent—the steepest rate for any nation apart from Brazil. The increase includes a 25 per cent additional levy tied directly to India’s purchases of Russian oil.
‘Ebbs And Flows’
Hassett defended the move, linking the dispute not only to trade but also to Washington’s broader geopolitical strategy. “Part of it has been tied to the pressure we’re trying to put on Russia in order to secure a peace deal and save millions of lives,” he said. “And then there’s the Indian intransigence about opening their markets to our products.”
Drawing a metaphor from sport, Hassett compared the drawn-out process to a marathon, stressing that patience was essential. “When you look at trade negotiations, one lesson we’ve all learnt is that you need to keep your eyes on the horizon and recognise there are going to be ebbs and flows before we reach the final position,” he said.
India Pushes Back
India, meanwhile, has signalled it will not yield under American pressure. Prime Minister Narendra Modi has reiterated that he will “never compromise” the interests of Indian farmers, even if trade tensions escalate.
Government estimates suggest that the new tariffs could hit $48.2 billion worth of exports to the United States. While officials say the immediate damage may be limited, they warn of broader economic consequences. Higher costs could make shipments to the US commercially unviable, potentially leading to job losses and slower growth.
