United States President Donald Trump announced on July 30 that he would impose a 25 percent tariff on goods from India, as well as an additional tax due to the country's purchases of oil from Russia.
In a post on his Truth Social platform, Trump said India "is our friend," but added that "its tariffs are too high" on American products.
India, he said, buys military equipment and oil from Russia — actions that Trump says help Russia continue its war in Ukraine. For that reason, he said he would begin implementing additional “punishment” on Friday as part of his administration’s review of its tariff system against several countries.
The announcement follows several trade deals negotiated with the European Union, Japan, the Philippines and Indonesia - which Trump described as steps to open markets for American goods and the possibility of the US raising tax rates on imports.
Trump sees tariff revenue as a way to offset the growing budget deficit caused by income tax cuts, as well as to spur the creation of new jobs in domestic manufacturing.
According to data from the US Bureau of Statistics, last year the US had a trade deficit of $45.8 billion with India, meaning it imported more than it exported.
India, with a population of over 1.4 billion, is the world's largest country and is seen as a potential geopolitical counterweight to China. New Delhi has maintained close relations with Moscow and has not supported Western sanctions against Russia over its aggression in Ukraine.
In February, during a meeting with Indian Prime Minister Narendra Modi, Trump declared that India would begin buying American oil and natural gas. /REL (A2 Televizion)
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