Donald Trump's Tariff Reduction Brings Good News For India, But Leaves Troubling Questions For PM Modi

New Delhi: US President Donald Trump has reduced the 25 percent tariff on Indian products to 18 percent. He announced this himself on his social media platform, Truth Social. Donald Trump claimed that this decision was made after India agreed to stop buying oil from Russia. Trump says this will help stop the war in Ukraine, where thousands of people are being killed every day or every week.

What did Donald Trump claim?

In addition, Donald Trump made another claim that India has decided to reduce tariffs on American products to zero percent. Under this agreement, India will purchase American energy, technology, agricultural products, coal, and other goods.

Donald Trump claimed that India will open its market to approximately $500 billion worth of American products. Thus, Donald Trump has made two major claims, but India has not commented on this matter. Prime Minister Narendra Modi's tweet thanked Trump, but did not mention any such commitment from India.

Meanwhile, experts say that if India has made these two commitments, it could raise some concerns. For example, stopping oil purchases from Russia is like closing off one diplomatic avenue. The relationship between Russia and India has served as a balance in global politics.

What is the potential impact on global policy and domestic markets?

Especially when the US wants to create a unipolar balance, India and Russia together create a counterweight. Now, if India stops buying oil from Russia, it remains to be seen what stance Vladimir Putin and his country will take. Furthermore, if American products, especially agricultural products, gain entry into the Indian market, the interests of local businesses will be affected. India has long resisted this, but now, with a large influx of American goods, the state of the domestic market will need to be monitored. Waiting for a response from the Indian government or its representatives.

Currently, no representative, official, or the Ministry of External Affairs of the Indian government has commented on Donald Trump's claims. It's worth noting that Donald Trump has made similar claims in the past, which India has not publicly addressed. For example, Trump claimed to have played a role in preventing a conflict between India and Pakistan during Operation Sindhu.

However, India denied this, while Pakistan confirmed the American claim and praised Donald Trump for his role in stopping the conflict. Trump has repeated his claim more than a dozen times. Therefore, it remains to be seen what the truth behind Trump's claims is and what response the Indian government will give.