Former U.S. President Donald Trump said that countries like India, China, and Brazil were “killing the U.S. with tariffs,” but claimed his tariff policies forced them to lower barriers, even saying India, once “the most highly tariffed nation,” had offered “no tariffs” after his pressure. Speaking on a radio show and later at the White House, Trump argued he understood tariffs “better than any human being in the world” and insisted they made America economically stronger. He described the U.S.–India trade relationship as “one-sided” for many years, with Washington not charging duties while Delhi imposed some of the highest tariffs in the world, including up to 200% on Harley Davidson motorcycles. He said such barriers pushed U.S. companies to set up plants inside India to avoid tariffs, but credited his policies for changing the balance, stressing that without tariffs, America would continue to be taken advantage of by trading partners.
Trade relations between India and the United States have
always had ups and downs. Recently, former U.S. President Donald Trump made
strong statements about India’s trade policies. At the same time, in 2025,
America itself imposed very high tariffs on Indian goods. Let’s understand the
full story step by step.
1. Trump’s Statement on India
Trump said countries like India, China, and Brazil “killed
the U.S. with tariffs.”
He claimed he understood tariffs “better than any human
being in the world.”
Trump explained that India was the most highly tariffed
nation and used the example of Harley Davidson motorcycles, which once faced 200%
import duties in India.
According to him, because of these tariffs, U.S. products
could not compete in India, while Indian products freely entered the U.S.
market.
2. What Changed in 2025
While Trump focused on India’s past high tariffs, the
situation in 2025 is different. Now, it is the United States that has targeted
India with big tariffs.
In August 2025, America added a 25% tariff on Indian goods.
Later in the same month, the tariff was increased to 50%.
Reason: The U.S. was unhappy with India’s purchase of
Russian oil, saying it hurt American sanctions.
3. How This Affects India
India sells more than $48 billion worth of goods to America
every year. The new 50% tariff makes Indian products very costly in the U.S.
Industries most affected:
Textiles and garments
Gems and jewelry
Leather products
Food exports
Automobiles and chemicals
Pharmaceuticals and electronics were given some temporary
relief.
This means many Indian exporters may lose business, and jobs
could be at risk.
4. India’s Response
The Indian government called the U.S. tariffs “unfair and
unjustified.”
Steps India is planning:
Cutting taxes (GST) to support local industries.
Finding new export markets in Russia, Europe, and Latin
America.
Considering a complaint at the World Trade Organization
(WTO) and possible counter-tariffs.
5. Bigger Impact on Relations
These trade tensions are not just about money. They also
affect strategic ties:
India and the U.S. are close defense and security partners.
But this dispute may push India closer to Russia and China.
It could also weaken cooperation in the Quad group (India,
U.S., Japan, Australia).
6. Simple Summary
|
Country |
Action |
Result |
|
U.S. |
Put 50% tariffs on Indian goods |
Made Indian exports too expensive |
|
India |
Condemned U.S. tariffs |
Looking for new markets and WTO action |
|
Global |
Trade fight between two democracies |
May change Indo-Pacific balance |
✅ Conclusion
In the past, India had high tariffs on U.S. products like motorcycles, which Trump often criticized.But in 2025, the roles are reversed: America has imposed record-high tariffs on India.India is now working on ways to reduce the damage, while the trade relationship remains under pressure.