India Declares Trade Talks with U.S. Still Ongoing Despite Escalating Tariff Tensions
Trade negotiations push forward as tariff pressures mount.
Behind the Diplomatic Curtain
New Delhi maintains dialogue channels remain open—even as Washington's tariff threats loom. Both sides continue exchanging proposals, though neither reveals specific numbers on disputed goods. The dance continues: public posturing versus private negotiation tables.
Economic Stakes Rising
Tech and agricultural sectors watch closely—any disruption could ripple through supply chains already strained by geopolitical maneuvering. Market analysts whisper about potential digital asset fluctuations if trade flows shift unexpectedly. Because nothing says 'stable markets' like politicians playing tariff poker with billions at stake.
Resolution or Escalation?
Watch for behind-the-scenes breakthroughs before next quarter's economic reports drop. Or don't—Wall Street's already pricing in both outcomes anyway.
Jaishankar challenges tariff logic, points to hypocrisy
The foreign minister pointed out that U.S. frustration over Indian-Russian trade feels selective. He questioned why Washington is going after India while larger buyers like China and European governments face no similar punishment.
“If the argument is oil, then there are (other) big buyers. If argument is who is trading more (with Russia), then there are bigger traders,” Jaishankar said. He added that Europe’s trade volume with Moscow is higher than India’s, yet only India is being penalized.
Even more confusing, Jaishankar said this oil issue wasn’t even part of earlier trade negotiations with Washington. The tariffs came later, without warning, and the U.S. never raised the matter in official meetings before announcing its penalties.
He also described Trump’s approach to diplomacy as unorthodox: “We have not had a U.S. president who conducts his foreign policy so publicly as the current one and (it) is a departure from the traditional way of conducting business with the world.”
These trade talks had already crashed once this year, when India refused to open its agricultural and dairy sectors to U.S. exporters. That refusal is still in place. And it’s part of the reason a deal is so hard to lock in.
India doesn’t want outside pressure changing policies that affect its food security and job market. Right now, the total annual trade between the two countries is over $190 billion, but that number could take a hit.
U.S. lawmaker downplays drama, says relationship remains strong
On the U.S. side, Republican Congressman Michael Baumgartner tried to cool things down in an interview with NDTV. He said Donald Trump “respects” India and Prime Minister Narendra Modi “a lot”, and believes the situation will work itself out.
“We know President Trump is a dealmaker, and he has a lot of respect for India. He also enjoyed his trip to India very much a few years ago. He values the relationship with PM Modi. I’m very optimistic that it will be worked out,” Baumgartner said.
Baumgartner added that the high tariffs should be seen as pressure between allies, not hostility. “Well, I think sometimes you have to ask more of your friends, and it should really be interpreted, I think, as a sign of respect towards India that America is asking more of India,” he said.
He admitted that India’s side might see it differently but emphasized that the overall ties remain solid. “And so the message I’ve communicated to your leaders is simply that the fundamentals between our two countries are very strong,” Baumgartner said.
The smartest crypto minds already read our newsletter. Want in? Join them.
