Trump warns of raising tariffs on India

US President Donald Trump hinted at raising tariffs on India if the Russian oil purchases are not curbed. 

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Speaking to reporters aboard Air Force One, Trump also said  “great legislation” would soon be discussed in Congress, allowing his administration to impose tariffs on countries buying Russian oil. “They do trade, and we can raise tariffs on them very quickly,” he said.

The White House shared the audio of the interaction.

“Modi (Prime Minister Narendra Modi) is a good guy. He knew I was not happy, and it was important to make me happy,” news agency Reuters quoted Trump as saying.

“India is now buying substantially less Russian oil,” said Senator Lindsey Graham, who interacted with the media along with Trump.

Trump’s remarks come at a time when the India and US trade deal is still in the works and yet to be finalised.

The US has levied a 50 per cent tariff on India (with 25 per cent being imposed in August as punishment for buying Russian oil).

Experts have called for quick resolution to the tariff issue and finalisation of the trade deal.

Recently, former Reserve Bank of India Governor C Rangarajan said resolving the trade issue was the permanent solution for fixing the current exchange rate situation (falling rupee against the dollar).

 

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