'Countdown to dollar decline has begun': CIO blasts weaponization of trade under Trump

Financial advisor Gurmeet Chadha has warned that the U.S. is risking long-term economic fallout by weaponizing trade policy.

Reacting to President Donald Trump’s decision to double tariffs on Indian imports over its oil trade with Russia, Chadha posted on X: “The countdown to the dollar losing its dominance and reserve currency status has begun.”

Chadha, founder of Complete Circle Consultants, argued that the strength of the U.S. dollar—and the global financial system more broadly—relies on trust. He cautioned that using tariffs and trade access as coercive tools could inflict “irreparable damage” on the U.S., even if the measures are later reversed. “This dictatorship and using trade as leverage,” he wrote, “will do irreparable damage to [the] U.S. in long term.”

His comments come amid mounting backlash in India after Trump signed an executive order imposing an additional 25% tariff—raising the total to 50%—on all Indian imports, citing India’s continued purchases of Russian oil.

The move, framed as a national security response under the International Emergency Economic Powers Act, gives India a 21-day window before the new duties kick in, with U.S. negotiators expected to arrive in New Delhi on August 25.

The Indian government issued a sharply worded statement, calling the action “unfair, unjustified and unreasonable,” and warned that it would take all necessary steps to protect national interests.

The Ministry of External Affairs emphasized that India’s oil purchases are based on market factors and driven by the energy security needs of 1.4 billion citizens.

India currently exports over $80 billion worth of goods to the U.S. annually. Though about half of those are reportedly shielded from the new tariff (such as pharmaceuticals and electronics), critical sectors like textiles, auto components, and engineering goods are likely to be hit hard. The White House has left open the possibility of removing or modifying the tariffs if India shifts its policy or trade behavior.