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'Detrimental to relation, creating mistrust': NATO advisor blasts Trump's 50% tariff on India

'Detrimental to relation, creating mistrust': NATO advisor blasts Trump's 50% tariff on India

Trump escalated his tariff campaign against India, raising duties to 50% on Indian imports due to New Delhi’s continued purchases of Russian oil

Business Today Desk
Business Today Desk
  • Updated Aug 7, 2025 3:49 PM IST
'Detrimental to relation, creating mistrust': NATO advisor blasts Trump's 50% tariff on IndiaNATO advisor warns of lasting impact on US-India relations

F Krystle Kaur, an advisor to NATO, has slammed US President Donald Trump's decision to impose a 50% tariff on Indian goods, warning that the move will have lasting negative effects on not only trade between the two countries but also the broader U.S.-India relationship.

On Thursday, Kaur expressed her disappointment, stating, "I want to say that I am extremely disappointed in Donald Trump and this decision. I think placing 50 percent on India is detrimental to not just trade between the two countries but the overall relation, especially when it has taken a long time to create," she said while speaking to news agency PTI. "I think this is creating a lot of mistrust in the Indian government."

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Kaur's remarks come as Trump escalates his tariff campaign against India, raising duties to 50% on Indian imports due to New Delhi’s continued purchases of Russian oil. This tariff hike, which follows a 25% increase earlier, has already drawn strong criticism from India. The Indian government has described the move as "unfair, unjustified and unreasonable," emphasising that it will take all necessary steps to protect its national interests.

India is now facing the highest tariff from the U.S. on imports, alongside Brazil. While the European Union and Turkey also purchase Russian oil, they have not been subjected to similar punitive tariffs, leading to questions about the consistency of U.S. trade policy. As Kaur pointed out, this uneven treatment is likely to erode trust in the bilateral relationship.

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Former U.S. ambassador to Russia, Michael McFaul, also questioned why the U.S. is targeting India when China is a much larger importer of Russian oil. "Why Trump is imposing a 25% tariff on Indian goods because India imports Russian oil but NOT doing the same to Chinese goods even though China imports more Russian oil demands an explanation. Can someone ask somebody in the Trump administration for an explanation?" McFaul asked.

While India is being singled out for its Russian oil imports, other nations, including China, continue to purchase Russian crude without facing such scrutiny. Between December 2022 and July 2025, China accounted for 47% of Russia’s crude exports, while India purchased 38%. The European Union and Turkey each bought 6%. Despite this, it is India that is bearing the brunt of the U.S. tariffs, despite not being the largest buyer of Russian oil.

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Peter Schiff, Chief Economist & Global Strategist at Europac, warned of serious economic consequences of these tariffs. Schiff warned, "Imports from India now face 50% tariffs. Trump may end up exposing the U.S. consumer as a paper tiger. A dollar crash will impoverish Americans but enrich foreign consumers, particularly the BRICs. The death of the U.S. consumer means the birth of the emerging market consumer."

The fallout from these tariffs is likely to be felt in key sectors such as textiles, gems and jewelry, shrimp, leather, footwear, and animal products, all of which will be hit hardest by the new duties. Meanwhile, competitors like Myanmar, Thailand, Bangladesh, and China will benefit from lower tariff rates on their exports to the U.S. This will make it even more difficult for Indian exporters to remain competitive in the American market.

Prime Minister Narendra Modi has remained firm on India’s stance, making it clear that he won't compromise on the interests of farmers. "For us, the interest of our farmers is our top priority. India will never compromise on the interests of farmers, fishermen, and dairy farmers. I know personally, I will have to pay a heavy price for it, but I am ready for it," Modi said.

Published on: Aug 7, 2025 3:49 PM IST
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