'Modi govt ought to leverage India's strength': Geostrategist on how India can negotiate trade deal with US

Geostrategist Brahma Chellaney on Thursday outlined the roadmap for India to negotiate a trade deal with the United States of America after US President Donald Trump imposed a 50 per cent tariff on Indian imports. Chellaney wrote on social media that the Modi government should capitalise on India's strengths while negotiating the trade deal with the US. 

Even though India has a lot of points going for it, the geostrategist had a word of caution for New Delhi, given Trump's mercurial way of functioning.

"By effectively declaring economic war on India, Trump has placed Modi in a difficult position. Can the Modi government confine its response to strong public statements — calling out Washington's double standards and vowing to safeguard national interests — while quietly sweetening its trade offer? Without counter-tariffs on select US goods, Trump's hardball tactics could leave India increasingly vulnerable at the negotiating table," he wrote in a post on X (formerly Twitter). 

Chellaney added that despite the growth of many economies stalling, India is a growing giant and American businesses are eager to get more access to Indian consumers.  

The geostrategist further said: "India remains the world’s fastest-growing major economy, which gives it leverage. As many other economies stall and populations shrink, India is a still-growing giant. American businesses are eager to get more access to Indian consumers. The Modi government ought to leverage India's strength."

Earlier in the day, PM Modi gave a stern message to Donald Trump after he slapped a 50 per cent tariff on India due to its continued purchases of Russian oil. 

Speaking at the MS Swaminathan Centenary International Conference, Modi said that he would continue to stand by Indian farmers and will bear the brunt of America's tariffs. 

"For us, the interest of our farmers is our top priority," the PM said. "India will never compromise on the interests of farmers, fishermen and dairy farmers."

He added, "I know I will have to pay a heavy price for it personally, and I am ready for it. India is ready for it."

Meanwhile, the BRICS nations — Brazil, Russia, India, China, and South Africa — that have been slapped with the highest US tariffs might discuss the same and issue a joint response.

BRICS nations have been slapped with tariffs of up to 50 per cent. While Russia is the most sanctioned country in the world at present, Brazil and India face tariffs of up to 50 per cent. China and South Africa face 30 per cent tariffs. 

Brazilian President Luiz Inacio Lula da Silva said he would call the leaders of India and China to discuss a joint BRICS response to US tariffs, followed by other leaders after that.