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Trump Rules Out Trade Talks With India Until Tariff Dispute Is Settled

Trump said trade talks with India will not happen until the tariff dispute is settled, while PM Modi vowed to prioritise farmers’ interests despite US penalties over Russian oil imports.

Published By: Nisha Srivastava
Last Updated: August 8, 2025 07:24:22 IST

US President Donald Trump has made it clear that Washington will not enter trade negotiations with New Delhi until the ongoing tariff dispute is resolved. The United States has imposed a total of 50% tariffs on Indian goods — half took effect on Thursday, while the remaining will begin on August 27 as a penalty for India’s oil purchases from Russia.

When a reporter asked if the 50% tariffs announcement would lead to more trade talks with India, Trump responded with a shrug and said, “No, not until we get it resolved.”

US Links Tariffs to India’s Dealings With Russia

Trump’s comments followed a White House executive order issued on Wednesday. The order announced an additional 25% tariff on India for continuing trade with Russia, which Washington says “undermines US efforts to counter Russia’s harmful activities.”

The statement accused India of reselling Russian oil on the open market at a profit, saying this practice “further enables the Russian Federation’s economy to fund its aggression” — a reference to Russia’s war in Ukraine.

According to the White House, by imposing this tariff, “President Trump aims to deter countries from supporting the Russian Federation’s economy through oil imports and impose serious economic consequences on the Russian Federation for its ongoing aggressions.”

PM Modi Says Farmers’ Interests Come First

Prime Minister Narendra Modi reacted strongly to the US tariff move, stressing that India would never compromise on protecting its farmers, even if it meant bearing economic losses.

“For us, the interest of our farmers is our top priority. India will never compromise on the interests of farmers, fishermen and dairy farmers. I know we will have to pay a heavy price for it, and I am ready for it. India is ready for it,” Modi said on Thursday.

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The Daily Guardian is India’s fastest growing News channel and enjoy highest viewership and highest time spent amongst educated urban Indians.

© Copyright ITV Network Ltd 2025. All right reserved.