Former Union Home Minister and senior Congress leader P. Chidambaram has strongly criticized the United States’ decision to impose a 25% tariff on all Indian exports, calling it a “big blow” to India-US trade relations. Taking a veiled dig at Prime Minister Narendra Modi, Chidambaram highlighted that such punitive measures, along with penalties on India’s purchase of Russian oil, reflect the failure of effective diplomatic negotiations. He also termed these trade actions as a clear violation of World Trade Organization (WTO) rules.
In a post shared on X (formerly Twitter), Chidambaram remarked, “Dosti is no substitute for diplomacy and painstaking negotiations.” His comments directly respond to the rhetoric surrounding PM Modi’s earlier claims of forming a “MEGA” (Make India Great Again + Make America Great Again) partnership with the US.
Meanwhile, former US President Donald Trump took to Truth Social to announce the new tariff, which is set to take effect on August 1, along with additional penalties targeting India’s energy imports from Russia. Trump accused India of maintaining high tariffs, non-monetary trade barriers, and continuing military ties with Russia, particularly in the wake of the ongoing conflict in Ukraine.
“India will therefore be paying a tariff of 25%, plus a penalty… starting August 1st,” Trump posted, reinforcing that despite India being a “friend,” the US must act in its own economic interest.