New Delhi: Indian Prime Minister Narendra Modi said on Saturday that New Delhi’s ties with Washington are still “very positive” as US President Donald Trump’s imposition of steep tariffs on Indian exports puts a strain on relations between the two countries.
Last month, the US hiked the total duty on Indian exports to 50 percent in retaliation over India’s continued purchases of Russian oil. That is the highest level in Asia and one of the highest ever imposed on a major trading partner by an American administration.
Trump’s tariffs, part of his escalating global trade war, have caused a rift in India-US ties after years of strong bonds between the two leaders going back to the US president’s first term.
“India and the US have a very positive and forward-looking Comprehensive and Global Strategic Partnership,” Modi wrote on X, adding: “(I) deeply appreciate and fully reciprocate President Trump’s sentiments and positive assessment of our ties.”
His statement followed Trump’s earlier remarks to reporters in Washington, where he said that he would “always be friends” with Modi.
“India and the United States have a special relationship. There is nothing to worry about,” Trump said.
India’s External Affairs Minister S. Jaishankar said Modi attaches “enormous importance” to New Delhi’s partnership with the US.
“He has always had a very good personal (relationship) with President Trump. But the point is that we remain engaged with the US,” Jaishankar told Indian news agency ANI on Saturday, indicating that the door is still open to continue trade negotiations.
India is bracing for the impacts of US tariffs, which New Delhi estimates will hit $48.2 billion worth of exports, with the Global Trade Research Initiative saying the levies could reduce Indian GDP by up to 0.9 of a percentage point.
There have been increasing calls in the world’s most populous country in recent weeks for a boycott of US brands, as Modi urged Indians to use “Swadeshi” — goods made in India.
Modi and Trump’s statements indicate that “both sides want to resolve outstanding issues” and “haven’t given up on each other,” Pranay Kotasthane, deputy director of the Takshashila Institution, an independent public policy center, told Arab News.
“But this yo-yoing will likely continue in the Trump administration,” he continued. “The volatility in the US will continue to affect its international relationships. Stability is the exception, not the norm.”
Mohan Guruswamy, a Delhi-based foreign policy expert, said Modi’s reaction to Trump’s recent remarks was “excessive,” noting that the tariffs still stand.
“Whether the tariff rate is brought down is the issue … The tariff is still there, (Trump’s) cabinet ministers, (Trump’s senior counselor for trade and manufacturing, Peter) Navarro and others have called India all kinds of names. That is the official position. That has not been withdrawn,” he told Arab News.
Navarro has accused India of “helping feed the Russian war machine” and profiting from Moscow’s war in Ukraine.
“I think (the government is) desperate. They don’t have a sense of self-respect and shame,” Guruswamy said. “Lack of respect for India is increasing. Respect would be increased if you didn’t react hastily.”
Sanjay Kapoor, an analyst and political editor, believes it unlikely that Washington will reduce its steep tariffs on Indian goods.
“There’s obviously an attempt to show that a hostile trade policy doesn’t mean spoilt ties,” he told Arab News. “But now Trump has weaponized tariffs to suggest that the trade policy encompasses foreign policy too.”
