India isn't fazed by Trump's 25% tariff. Instead, the nation has crafted a unique strategy to respond to America and Trump. According to India Today's sources, the government stated that India will not retaliate against the tariff and will engage in discussions at the negotiation table, aiming to find solutions that address both countries' interests.
President Donald Trump has announced a 25% tariff on India, effective from August 1, with additional penalties. Justifying this move, he cited oil purchases from Russia and ongoing trade hurdles.
India's Strategy: Talk it Out!
A government source mentioned, 'India will not retaliate. Silence is the best answer. Whatever we do will be through discussions at the negotiation table.' On Thursday in Lok Sabha, Commerce Minister Piyush Goyal stated that the Indian government is keenly monitoring the situation. Several meetings between the countries discussed tariffs ranging from 10% to 15%. India will take all necessary steps for national interest.
India's Economy: Unshaken?
Trump imposed the tariff amid ongoing trade agreement talks between the two nations, which haven't concluded. Trump's focus is on increasing American goods' access to Indian markets. While some experts expressed concern over the U.S.'s decision, they also noted that the Indian economy remains largely unfazed.
Government sources recall that despite facing numerous sanctions during nuclear tests while being a smaller economy, India today stands as a self-reliant economy. So why worry now?
Opposition Criticizes Government
Trump's 25% tariff, coupled with linking the Indian economy to Russia as a 'dead economy', led to vehement opposition in Lok Sabha. Congress leader Rahul Gandhi criticized Trump's statement, asserting that everyone except the Prime Minister and Finance Minister knows the Indian economy has faltered. He praised Trump for stating the fact, alleging that BJP has damaged the economy to help Adani.
