Is PM Modi Holding a Crucial Meeting on US Tariff Increase?
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Synopsis
On August 8, Prime Minister Narendra Modi will lead a high-level Cabinet meeting to discuss the implications of the recently imposed US tariff hike on Indian exports. With tensions rising, the Indian government is poised to strategize its response to safeguard domestic interests. Will Modi's administration find a way to mitigate these economic challenges?
Key Takeaways
- PM Modi to chair an urgent meeting on tariff impacts.
- US tariffs on Indian goods raised to 50%.
- Ministry of External Affairs condemns US decision.
- Focus on protecting farmers and fishermen.
- Strategic response to be discussed in the meeting.
New Delhi, Aug 8 (NationPress) Prime Minister Narendra Modi is set to preside over a significant high-level Cabinet meeting on Friday at 1 p.m. to evaluate the repercussions of the substantial tariff increase recently enforced by the US on Indian exports.
This action arises amidst rising trade frictions between the two countries, following the US's decision to augment tariffs on Indian products to a staggering 50 percent.
The agenda of the meeting will likely revolve around India's strategic countermeasures to the US's decision.
The latest tariffs, which include an additional 25 percent increment, were declared by US President Donald Trump on Wednesday, primarily due to India’s ongoing imports of Russian crude oil. This adds to an earlier 25 percent tariff that was implemented on July 20.
In a robust reaction, the Ministry of External Affairs labeled the US's decision as “unfair, unjustified, and unreasonable”, emphasizing that India’s energy requirements and strategic independence should be honored.
Following the announcement of the new tariffs, Prime Minister Modi reaffirmed his government's steadfast support for Indian farmers, livestock holders, and fishermen.
During his address at the MS Swaminathan Centenary International Conference in Delhi on Thursday, he stated, “The interest of farmers is our top priority. India will never compromise with the interests of its farmers, livestock holders, and fishermen. I understand that I may face significant personal costs for this, but I am prepared. For the sake of our farmers, fishermen, and livestock holders, India is ready.”
Trump dismissed any possibility of negotiations with India regarding the tariffs on Thursday, asserting, “No, not until we get it resolved” when asked if he anticipated further discussions following the announcement of the 50 percent tariff effective August 27.
Point of View
It is essential to recognize that India's response to the US tariff hike is a critical issue that affects millions of citizens directly. The government must balance its international obligations while ensuring the protection of its domestic economy. It is a complex situation that requires astute diplomacy and strategic planning.
NationPress
20/08/2025
Frequently Asked Questions
What is the purpose of the Cabinet meeting led by PM Modi?
The meeting aims to assess the impact of the US tariff hike on Indian exports and discuss strategic responses.
Why did the US impose a tariff increase on Indian goods?
The US cited India's continued imports of Russian crude oil as the primary reason for the tariff hike.
What percentage are the new US tariffs on Indian exports?
The new tariffs amount to a total of 50 percent on Indian goods.
How has the Indian government responded to the tariff increase?
The Ministry of External Affairs has described the US decision as unfair and unreasonable, emphasizing India's energy needs.
What did PM Modi say regarding the interests of farmers?
PM Modi stated that the interests of farmers, livestock holders, and fishermen are a top priority for his government.
