INDIA’S STAND AGAINST US TARIFFS: TIES WITH RUSSIA, CHINA

In the fast-shifting arena of global trade, tensions between India and the United States have reached a new level. US President Donald Trump’s tariff policies aimed at protecting American industries have not been taken lightly by New Delhi. While some countries have softened their approach under American pressure, India has chosen a different path: preparing a firm and calculated response.

Prime Minister Narendra Modi has made it clear that India will not be intimidated by tariff threats. Instead of simply reacting, his administration is working to shape a proactive and strategic plan. This plan involves cooperation with two of the world’s major powers Russia and China to ensure that India’s economic and political interests remain secure.

The Tariff Dispute

Donald Trump’s administration has pursued an “America First” trade policy, placing tariffs on a variety of imports, including steel, aluminum, and certain manufactured goods. These tariffs have impacted several countries, including India, which exports key products to the US market.

The US has argued that such tariffs are necessary to protect domestic industries from cheap imports. India, however, sees them as unfair and inconsistent with the spirit of free trade. The tariffs not only affect India’s export revenues but also threaten to disrupt long-standing trade relations between the two nations.

India’s Calculated Response

Rather than responding with emotional or rushed counter-measures, the Modi government has taken a balanced approach. It has initiated diplomatic dialogue while simultaneously preparing alternative economic partnerships. The goal is clear reduce dependency on any single market, especially one that can impose sudden trade barriers.

Central to this plan is strengthening relations with Russia and China, two countries that also face trade disputes with the US. By working together, the three nations could create a stronger collective voice in international trade negotiations.

The Russia Factor

Russia has long been a trusted partner for India, especially in defense, energy, and strategic infrastructure projects. With Russian President Vladimir Putin expected to visit India in late August, New Delhi sees an opportunity to deepen economic cooperation.

Sources indicate that both countries are exploring ways to increase bilateral trade in local currencies, bypassing the US dollar where possible. This move would reduce exposure to US-driven financial sanctions and give more stability to trade flows.

Additionally, Russia’s advanced technology in energy and defense manufacturing offers India alternatives to American suppliers, helping reduce dependency on US goods.

The China Dimension

China, like India, has faced heavy US tariffs under the Trump administration. While India and China have had their share of political and border tensions, economic cooperation in certain areas is proving beneficial.

Both nations are part of regional groupings such as BRICS and the Shanghai Cooperation Organisation (SCO), which aim to promote trade, infrastructure development, and diplomatic coordination. By aligning positions on tariff disputes, India and China could strengthen their bargaining power in global trade forums.

Moreover, China’s vast manufacturing base and India’s growing consumer market create natural opportunities for mutual benefit if managed carefully to protect domestic industries.

Strategic Impact of Putin’s Visit

President Putin’s visit later this month is expected to be more than just ceremonial. Insiders suggest that major announcements on trade agreements, energy cooperation, and defense deals are likely. These agreements could send a strong signal to Washington that India has multiple options for economic partnership and will not bow to tariff pressures.

Joint projects in nuclear energy, space exploration, and oil and gas exploration may also be on the table. Such cooperation would further solidify India’s position as an independent global player.

Balancing Firmness with Diplomacy

While preparing for a strong response, India is also keeping diplomatic channels open with the United States. Trade wars rarely have permanent winners, and New Delhi understands the value of maintaining constructive engagement.

The strategy seems to be: prepare for the worst, but work toward the best. If dialogue leads to a fair resolution, India will welcome it. If not, the groundwork for alternative alliances will already be in place.
The Bigger Picture

The unfolding situation is not just about tariffs it’s about the global balance of economic power. As nations navigate the shifting trade landscape, India’s assertive yet measured stance sets a precedent for other emerging economies.