Amid rising trade tensions with the United States, India’s Ministry of External Affairs (MEA) has moved swiftly to dismiss fake reports circulating online. These reports claimed that New Delhi was reviewing the list of U.S. goods exempted from tariffs and reconsidering bilateral agreements with Washington.
On social media platform X, the MEA’s fact-check unit posted a blunt response:
“This is FAKE News!”
The fake report, originally shared by a handle named “China in English,” alleged that the Indian government had declared: “No privileges without mutual respect.” The MEA dismissed this outright, emphasizing that India’s priority remains constructive dialogue rather than retaliatory measures.
This clarification comes against the backdrop of U.S. President Donald Trump’s announcement last week of a 25 percent tariff on Indian goods, accompanied by an additional penalty tied to India’s oil and military purchases from Russia during the Ukraine conflict.
Trump defended the move in blunt terms. Writing on Truth Social, he said:
“Remember, while India is our friend, we have, over the years, done relatively little business with them because their tariffs are far too high, among the highest in the world, and they have the most strenuous and obnoxious non-monetary trade barriers of any country.”The following day, he went further:
“India can take its dead economy and go down together with Russia.”
Despite these sharp words, insiders suggest the trade talks remain on course. Sources quoted by Hindustan Times confirmed that both sides are “intensely engaged in efforts” to resolve outstanding differences:
“We are engaged through virtual mode as of date and likely to iron out remaining differences when the American negotiating team visits India for the sixth physical round this month,” an official said.
A U.S. delegation is scheduled to arrive in New Delhi on August 24 for the next round of negotiations, underscoring that the tariff dispute, while heated, is unlikely to derail broader economic engagement.
Global Context: The Tariff Clash in Perspective
This dispute highlights the complex balancing act in U.S.-India ties. On one hand, Washington sees New Delhi as a strategic partner in countering China and expanding Indo-Pacific cooperation. On the other, Trump’s tariff decision underscores the transactional strain in trade relations, fueled by India’s high import duties and non-tariff barriers.
India, meanwhile, is diversifying its global partnerships—buying discounted Russian oil and strengthening BRICS ties—moves that irritate Washington but serve its economic and energy needs. This is less about ideology and more about making decisions based on national interest and pragmatic needs, not on ideals or emotions. New Delhi is pursuing a multipolar strategy, deepening ties with Russia, the U.S., and even Middle Eastern powers simultaneously.
Ultimately, while tariffs make headlines, history suggests that both nations have repeatedly navigated such disputes without derailing their broader relationship. The upcoming trade talks will be another test of whether Washington and New Delhi can manage friction while preserving the larger strategic alignment.
