Things are heating up between the US and India after the US government decided to increase tariffs on products coming from India. This has cast a shadow over the ongoing trade talks between the two nations.
When reporters asked President Trump if trade talks could move forward without sorting out the tariff issues, he was pretty clear: “There’s no chance of progress until we fix this tariff problem.” He also stressed the importance of protecting American jobs and industries.
Just recently, the US added an extra 25 percent tariff on crude oil imports linked to India. Now, most Indian goods entering the US face a total tariff of about 50 percent. This is causing headaches for Indian exporters.
Trump signed off on this tariff hike just hours before it officially took effect on August 7. There’s also a plan to enforce the rules more strictly after 21 days.
President Trump has repeatedly accused India of making the Ukraine conflict worse by continuing to buy oil from Russia, which partly explains why the US has taken such a tough stance.
Experts say that unless these issues are quickly resolved, these trade barriers could slow down growth and put extra strain on the relationship between the US and India.
