Trump Axes U.S.-India Trade Talks After Putin Meeting—August 25–29 Negotiations Scrapped

Trade tensions flare as Trump abruptly cancels critical U.S.-India negotiations—just days after cozying up to Putin. Was it strategic chess or geopolitical whiplash?

The scheduled August 25–29 talks—poised to address billions in tariffs—vanished from the calendar faster than a meme coin crash. Observers note the timing raises eyebrows: a private Moscow tête-à-tête precedes the cancellation by 72 hours.

Market cynics whisper: 'Another masterclass in volatility—Wall Street’s algorithms didn’t see this coming, but Putin’s poker face did.'

Modi leans into self-reliance as U.S. ties fracture

During his Independence Day speech on Friday, Prime Minister Narendra Modi didn’t mention the U.S. by name, but he did say India WOULD become more independent and reduce its dependence on foreign imports.

Modi announced that India’s own semiconductor chips would be on the market by the end of the year. “By the end of this year, ‘Made in India’ semiconductor chips will be available in the market,” he said, wrapped in the national flag’s colors.

Modi also promised a major tax reform by October, focusing on the goods and services tax system. The changes are meant to benefit India’s middle class, key voters for his Bharatiya Janata Party.

At the same time, he announced a new task force that would focus on cleaning up outdated rules, cutting compliance costs, and removing legal roadblocks that slow down businesses.

This is all part of Modi’s longtime Atmanirbhar Bharat campaign, aimed at reducing India’s reliance on outside powers. Modi’s push for domestic production has had a few wins, like Apple shifting some iPhone manufacturing to India.

But progress has been limited, with foreign investors blaming government red tape and slow approvals. India wants to be less dependent on imports for things like batteries, fertilizers, and energy, but with the trade door to the U.S. now closed, that goal just got a lot harder.

Still, Indian officials are trying to keep communication alive. Sunil Barthwal, India’s commerce secretary, told reporters that “India remains fully engaged with the U.S. in trade negotiations.” But his statement came just hours before the U.S. team canceled the visit without any explanation.

Experts aren’t surprised by the deadlock. C Raja Mohan, a visiting professor at the Institute of South Asian Studies in Singapore, said public pressure from Washington isn’t helping. “The Americans are making it very hard for India,” he said. “Modi cannot be seen as giving in.” But Mohan also noted that Modi is still pushing his people to “negotiate in a pragmatic manner.”

Don’t just read crypto news. Understand it. Subscribe to our newsletter. It's free.