Trump Doubles Tariffs on India Over Russian Oil Ties, Triggering Trade and Diplomatic Storm

Washington/New Delhi – August 2025:

Former U.S. President Donald Trump has reignited global trade tensions by doubling tariffs on Indian imports to 50%, targeting products such as textiles, gems, and leather goods. Trump justified the move by accusing India of indirectly financing the Ukraine war through its continued purchase of discounted Russian oil.

The Indian government swiftly condemned the action, labeling it “unfair and unreasonable.” New Delhi defended its oil trade as essential for national energy security, particularly amid ongoing economic volatility and inflationary pressure.

Trade negotiations between the two countries collapsed earlier this month. Washington pushed India to open its agricultural markets and reduce tariffs, while India resisted, citing concerns for domestic farmers and food sovereignty. The deadlock ended hopes of a near-term trade resolution.

Economic Fallout:

Experts warn that Indian exports to the U.S. could drop by as much as 50%, potentially destabilizing the rupee and fueling inflation. Sectors like textiles and jewelry—heavily reliant on the U.S. market—face immediate losses, threatening millions of jobs.

Diplomatic Strain:

The tariff escalation marks a new low in U.S.-India relations. Allies such as the European Union have expressed concern over Trump’s unilateral trade measures, fearing broader fallout for global supply chains and multilateral diplomacy.

Global Media Reactions:

• BBC analyzed the strategic implications, warning of a growing divide between Western allies and emerging economies.

• Al Jazeera criticized the move as another instance of the U.S. “bullying” the Global South.

• Fox News praised Trump’s decision, framing it as a firm stance against countries maintaining ties with Russia.

Key Takeaway:

This move by Trump has triggered not only an economic backlash but also a geopolitical one, testing U.S.-India relations and sending ripples across the international trade landscape.