Sunday, August 31, 2025

India-US Relations Beyond Trump's Tariffs

Image courtesy of Google's Gemini AI



While the whole nation seethes with righteous and definitely justified anger at the US President, Donald Trump's bizarre decision to impose an appallingly high 50% tariff on Indian goods imported into America, there is an  urgent need to look at the issue dispassionately and not get weighed down by emotion.
It is true that the reason for imposing an additional 25% tariff on the importing of cheap Russian oil by India is pure hypocrisy, as both China and Europe individually buy more energy from that country. Besides, the US itself trades with Russia in a not-so-insubstantial manner. To add insult to injury, Trump has also decided to cosy up to the quasi-dictator of Pakistan, Asif Munir. That being stated, the answer to the bullying tactics of the present American administration is not to rush into the arms of revisionist, dictatorial regimes like those of China and Russia. Add to that the fact that China has illegally occupied vast tracts of Indian land and continues to view India as a rival and a threat to its rise, we have every reason to tread carefully.
This is the same China that fully supported our belligerent Western neighbour, Pakistan, during Operation Sindoor. Russia is in no position to be a strategic asset for India, given that it is in the doghouse owing to its ill-advised Ukraine war. What’s worse is that it is beholden to China for its very survival. Besides, it has only caused trouble for India on account of its habit of invading nations here and there. Its entry into Afghanistan in the 1980s saw the rise of Islamist terrorism in India’s neighbourhood, and its invasion of Ukraine has thrown a spanner in budding Indo-US relations.
The Indian-US strategic relationship was carefully crafted over the last two decades and makes as much sense today as it did six months ago. That a mercurial US president, who has troubled relations with all of his nation’s allies and close friends, is giving India a lot of grief is undisputed, but that is something that the whole world is contending with. We have to remember that Trump is not America, and his handpicked team of lackeys who go along with his every mad whim and fancy.
There is the bureaucracy of that nation who haven’t changed its worldview just because an irrational and seemingly semi-literate demagogue is in charge for a few years. Nor have the right-thinking politicians on both sides of the aisle, and even former members of Trump’s first cabinet. Everyone is waiting to weather the Trumpian storm, and so should India. At the same time, India is doing the right thing by continuing to exercise its long-cherished strategic autonomy by seeking to expand trade relations with China and Russia, apart from similarly engaging with the affluent European Bloc of nations and the United Kingdom.
India, being the largest nation in the world in terms of population, has a tremendous advantage in that it has such a large market, which can not only help it grow economically even in the event of a fall in its export earnings, but it can also use that as leverage in conducting its global affairs. Not allowing free rein to the Americans in the Indian markets, in fact, lies at the heart of the current American decision to punish India with tariffs.
For all the current problems we are having with the Americans, there is much that binds the two former British colonies. The Americans supported India during its freedom struggle and provided it with much-needed food aid in the 1960s. Martin Luther King based his civil rights movement on Gandhi’s principles of non-violence.
It also helped us against the Chinese in 1962, and there have always been warm people to people contacts between the peoples of the  two countries. The English language and their status as the world’s most consequential democracies bond India and America in ways that are not possible with totalitarian states like Russia and China. The best and brightest Indian students have gone on to complete their higher studies in the most prestigious American colleges and found astounding success in America across myriad fields. Indian doctors, engineers, managers, CEOs, and IT professionals rule the roost in the United States of America.
The two countries bond culturally as well, with the American way of life slowly permeating across India’s cities as towns, as evidenced by the very large number of Mc Donalds, Burger KIngs, Pizza Huts, and other American style  fast food chains present everywhere. People drink Coca-Cola and  use American social media platforms in practically every part of India and draw their cultural cues from the West, and hardly from Russia and China. India, on its part, exercises its cultural influence on America through yoga and spirituality. This is not a relationship that is driven by the politicians, but the peoples of the two countries. We need to remember that when we react to the actions of the men of straw who call themselves leaders of America.
While protecting India’s interests by not succumbing to their rank bullying tactics, it is important not to throw the baby out with the bathwater. We should, in fact, look at the present impasse with regard to Indo-US relations as an opportunity to try and strengthen our domestic industries and seek out diverse export markets. At the same time, we should not shy away from the important economic reforms needed domestically and unshackle our private sector to grow boldly and ambitiously. We would also see if we can reduce the tariff we charge on our imports to encourage countries across the world to trade with us. That will also incentivise our local industries to become more efficient and give customers better value for money.
There is much that is being said about the 21st century being an Asian one, and that is not something lost on the Americans who would want to hold on to their position as the numero uno nation of the world for as long as possible. India is well positioned to continue being somebody that the US will benefit from engaging closely with. The Americans will come around. They have to if they have any sense. In the meantime, India should play its cards just right.

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