'Potentially damaging...': Trump-era US-India trade deal deeply one-sided, says Brahma Chellaney
President Trump imposed a 25% tariff on Indian imports and took aim at New Delhi’s trade ties with Moscow, saying the two could “take their dead economies down together.”
- Jul 31, 2025,
- Updated Jul 31, 2025 6:35 PM IST
Strategic affairs expert Brahma Chellaney has raised serious concerns over a proposed US-India trade agreement pursued during Donald Trump’s presidency, calling it “lopsided” and potentially damaging to India's economic and security interests.
In a post on X (formerly Twitter), Chellaney cited US and international media reports that outlined key terms being pushed by the Trump administration during trade talks with India. According to him, the deal sought to secure disproportionate advantages for the United States at the cost of India’s domestic sectors and strategic autonomy.
He wrote, “Among the key demands reportedly made by the US:
Asymmetrical tariff structure: While the US would retain relatively high tariffs on Indian exports — similar to the 19-20% rates it has enforced on countries like Vietnam, Indonesia, and the Philippines — India would be expected to offer zero tariffs on most American imports.
Agricultural market access: India would have to open up its agricultural and dairy sectors to US exports. Chellaney warned that this could devastate small-scale family farms in India and threaten national food security.
Energy commitments: The deal would require India to ramp up purchases of American energy products, including oil and gas, by tens of billions of dollars annually — locking the country into long-term dependency.
Defence imports: Even though India is already a major customer of US arms, the deal envisioned a significant increase in American weapons purchases.
This kind of trade agreement would have tilted the scales sharply in Washington’s favour while exposing India’s domestic economy to severe vulnerabilities.”
Trump's tariff war
President Trump imposed a 25% tariff on Indian imports and took aim at New Delhi’s trade ties with Moscow, saying the two could “take their dead economies down together.” Calling India a “friend,” Trump criticized its high tariffs and “obnoxious” trade barriers, claiming they’ve hindered US-India trade. India responded by saying it is reviewing the move and remains committed to a fair trade deal.
Strategic affairs expert Brahma Chellaney has raised serious concerns over a proposed US-India trade agreement pursued during Donald Trump’s presidency, calling it “lopsided” and potentially damaging to India's economic and security interests.
In a post on X (formerly Twitter), Chellaney cited US and international media reports that outlined key terms being pushed by the Trump administration during trade talks with India. According to him, the deal sought to secure disproportionate advantages for the United States at the cost of India’s domestic sectors and strategic autonomy.
He wrote, “Among the key demands reportedly made by the US:
Asymmetrical tariff structure: While the US would retain relatively high tariffs on Indian exports — similar to the 19-20% rates it has enforced on countries like Vietnam, Indonesia, and the Philippines — India would be expected to offer zero tariffs on most American imports.
Agricultural market access: India would have to open up its agricultural and dairy sectors to US exports. Chellaney warned that this could devastate small-scale family farms in India and threaten national food security.
Energy commitments: The deal would require India to ramp up purchases of American energy products, including oil and gas, by tens of billions of dollars annually — locking the country into long-term dependency.
Defence imports: Even though India is already a major customer of US arms, the deal envisioned a significant increase in American weapons purchases.
This kind of trade agreement would have tilted the scales sharply in Washington’s favour while exposing India’s domestic economy to severe vulnerabilities.”
Trump's tariff war
President Trump imposed a 25% tariff on Indian imports and took aim at New Delhi’s trade ties with Moscow, saying the two could “take their dead economies down together.” Calling India a “friend,” Trump criticized its high tariffs and “obnoxious” trade barriers, claiming they’ve hindered US-India trade. India responded by saying it is reviewing the move and remains committed to a fair trade deal.