GST
International News: The trade tension between India and the United States is escalating quickly. President Trump now wants this battle to be fought not alone, but with the combined strength of major global economies. His plan is to rally G7 partners to impose heavier duties on India’s imports, signaling a sharp turn in Washington’s strategy.
According to the Financial Times, the US is proposing that G7 nations place tariffs between 50 and 100 percent on Indian and Chinese goods. Finance ministers of Canada, France, the United States, Japan, Italy, Britain, and Germany are scheduled to discuss this plan in a virtual meeting. The outcome could set the tone for a trade war.
Trump has already spoken with European Union leaders before this development. Reports revealed that he suggested a 100 percent tariff on China and asked EU partners to apply similar penalties on India. His argument is based on claims that both countries continue to support Russia indirectly.
American officials argue that India and China are purchasing Russian oil in large volumes. They say this trade helps Russian President Vladimir Putin maintain his war machine and fuels violence in Ukraine. Trump’s administration believes that united tariff pressure is the only way to reduce Moscow’s resources.
India has defended its position strongly, saying that the United States and Europe also continue trade with Russia in different forms. New Delhi highlighted that its oil purchases are guided by energy security needs. India also criticized the penalty of 25 percent and additional tariffs as unfair.
The US has imposed a 30 percent tariff on Chinese goods, but India faces a stricter position. Besides fines, Indian imports carry tariffs of up to 50 percent with threats of further restrictions. This imbalance in treatment is raising serious concerns in New Delhi about long-term trade stability.
The G7 meeting scheduled today will decide whether these nations stand with Trump’s call or not. If they agree, India’s trade could suffer major setbacks in coming months. The decision is expected to shape international relations and influence the global economic landscape for years to come.
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