After Trump declared a 50 percent tariff on Indian goods, Krystle Kaul, advisor to NATO, said that this tariff war is going to set back the relations between India and the US.
According to media reports, a NATO advisor said the tariffs will set back India-US relations, which have taken decades to rebuild.
(Also Read: 50% US Tariffs On Indian Goods Take Effect, Exporters Brace For Major Impact)
25% Tariff On India
In a significant setback to bilateral trade, fresh US tariffs on Indian exports came into effect today, increasing the aggregate import duty to 50% on an assortment of goods.
The action, taken by the US Department of Homeland Security, imposes a further 25% tariff on top of an already existing one, a move attributed to India’s continued import of Russian oil. The development is likely to have a hard-hitting effect on Indian labor-intensive industries and exporters, compromising India’s export-led growth.
Trump Warns Tariff Threat
Earlier, President Trump claimed that during his tenure, he played a crucial role in defusing tensions between India and Pakistan, which he said could have escalated into a nuclear conflict.
“…I am talking to a very terrific man, Prime Minister of India, Narendra Modi. I said what’s going on with you and Pakistan. Then I am talking to Pakistan about trade. I said what’s going on with you and India? The hatred was tremendous. This has been going on for a hell of a long time, like, sometimes with different names for hundreds of years,” he said.