Donald Trump suggested the US could quickly raise tariffs on India over its continued imports of Russian oil, saying PM Modi was aware of his displeasure.
The remarks revive tensions after Washington imposed steep reciprocal and penalty tariffs last year, straining India–US trade ties.
Tariff talks remain stalled, with the US pressing for market access while India holds firm on protecting its farm and dairy sectors.
In response to India's ongoing imports of Russian oil, US President Donald Trump has hinted at the imposition of new tariffs, stating that Prime Minister Narendra Modi "knew he was not happy."
He claimed to reporters on board Air Force One on Sunday, Trump said, "PM Modi's a very good man. He's a good guy. He knew I was not happy. It was important to make me happy. They do trade, and we can raise tariffs on them very quickly."
Trump intensified his tariff campaign last year, levying a 25 per cent reciprocal tax on India and an additional 25 per cent penalty for purchasing Russian oil, raising overall tariffs in some categories to an astounding 50 per cent. The relationship between Washington and New Delhi rapidly deteriorated as a result of this action.
Only a few weeks have passed since the US President spoke with Prime Minister Modi over the phone, emphasising the need to keep up the momentum in their joint efforts to boost bilateral commerce amid lingering tariff concerns.
Just a few days before the call, Trump had threatened fresh tariffs on Indian rice after a farmer representative at a White House roundtable complained of dumping by India, China and Thailand.
“Why is India allowed to do that? They have to pay tariffs. Do they have an exemption on rice?” Trump asked Treasury Secretary Scott Bessent at the time.
When told a trade deal is in the works, Trump added, "but they [India] shouldn’t be doing that... We will get it settled. Tariffs solve the problem in two minutes."
Talks between India and the US to resolve the tariff impasse have stalled, with Washington pushing hard to prevent steep import duties on American agricultural products.
However, New Delhi is unwavering in its commitment to safeguarding the nation's dairy and farming industries.
