'Trump intimidating, coercing us': Kharge criticises Modi govt after fresh US tariffs on India

Congress President Mallikarjun Kharge called US President Donald Trump's decision to impose a 50% tariff on Indian goods  a "foreign policy disaster," accusing Prime Minister Narendra Modi's government of being "clueless on how to deal with it." This move, a reaction to India's purchase of Russian oil, adds an additional 25% tariff to the existing levy. The tariffs, effective from August 7, cover nearly all Indian exports to the US, potentially impacting sectors like textiles and leather exports. 

Kharge expressed concerns about the tariffs, stating, "From the threats of the 7th fleet to the sanctions of Nuclear tests, we have navigated our relationship with the US with self-respect and dignity. Trump's 50% Tariffs come at a time when our own diplomacy is disastrously dithering."

He also criticised Modi for not addressing Trump's claims about brokering a ceasefire. Kharge highlighted the likely impact of these tariffs on various Indian sectors, particularly MSMEs, agriculture, and manufacturing.

"Our sectors like MSMEs, Agriculture, Dairy Engineering Goods, Electronic Goods, Gems & Jewellery, Drug Formulations & Biologicals, Petroleum Products and Cotton made clothes shall be hurt the most," he claimed.

He further criticised the government's handling of trade negotiations, stating, "We all knew about it. You did nothing in the Union Budget to soften the blow on our key sectors such as agriculture, MSMEs and various industries."

Kharge accused the Modi administration of failing to secure a trade agreement with the US despite having ample time. "You failed to negotiate a trade deal with the US. Now Mr. Trump is intimidating and coercing us - but you keep quiet," he asserted.

India's export value to the US was approximately Rs 7.51 lakh crore in 2024, and the new tariff imposition could result in an economic burden of Rs 3.75 lakh crore, Kharge noted.

The tariffs are part of Trump's executive order titled "Addressing Threats to the US by the Government of the Russian Federation," aimed at penalising India for its ongoing relationship with Russia.

Kharge concluded by emphasising India's policy of strategic autonomy, stating that any nation penalising India for such policies "doesn't understand the steel frame India is made of."