New Delhi. US President Donald Trump has initiated a ‘tariff war.’ The US has imposed tariffs on Mexico, Canada, and China. In response, Canada has also announced import duties on American goods. Donald Trump has repeatedly included not only China and Canada but also India in the list of «high-tariff countries» and has warned of imposing higher tariffs on goods imported from India. In 2018, during his first term, the Trump administration imposed high tariffs on aluminum and steel, affecting several countries, including India. In response, India also imposed tariffs on American goods. Now, the question arises: if Donald Trump imposes tariffs on India as well, what will be the impact? Will it affect only India, or will the US also suffer from Trump’s ‘tariff obsession’?

Global trade experts say that imposing tariffs on Indian imports will not only affect diplomatic relations between the two countries but also impact industries and ordinary citizens in both India and the US. The US and China are India’s largest trading partners. If the US increases tariffs, India will certainly not remain passive and will take retaliatory action. In such a scenario, treating India like a minor country would prove costly for the ‘superpower.’

Trade between the two countries reaches $119.71 billion
In the fiscal year 2023-24, trade between the two countries reached $119.71 billion. India has a trade surplus of approximately $35.31 billion. A trade surplus simply means that the value of a country’s exports exceeds its imports. If the US increases tariffs on Indian goods, this trade balance could be disrupted, posing challenges for several key Indian industries.

The US is India’s largest export destination, contributing over 18% in value. In 2023-24, India exported goods worth $77.5 billion to the US. Imports from the US to India are significantly lower. Last year, India’s imports from the US fell by 17% to $42.2 billion. This trade imbalance has increased the US trade deficit with India in bilateral trade, fueling Trump’s tariff threats.

What does Trump want from India?
Trump wants India to reduce tariffs on American goods and buy more from the US. After a recent phone call between Trump and Modi, the White House stated, «The President emphasized the importance of increasing India’s purchase of US-made security equipment and moving toward a fair bilateral trade relationship.»

New Delhi

New Delhi, the capital of India, was officially established in 1911 during British colonial rule and designed by architects Edwin Lutyens and Herbert Baker. It replaced Kolkata (Calcutta) as the capital and features grand colonial-era landmarks like India Gate and Rashtrapati Bhavan (the Presidential Residence). Today, it serves as India’s political and cultural hub, blending historic monuments with modern urban life.

US

The United States (U.S.) is a diverse and expansive country in North America, founded in 1776 after declaring independence from Britain. Known for its cultural influence, democratic government, and economic power, it is home to iconic landmarks like the Statue of Liberty, the Grand Canyon, and historic sites such as Independence Hall. Its history includes colonization, the Civil War, civil rights movements, and global leadership in technology and innovation.

Mexico

Mexico, officially the United Mexican States, is a country rich in history and culture, known for its ancient civilizations like the Aztecs and Maya, as well as its colonial heritage from Spanish rule (1521–1821). Famous for landmarks such as Chichen Itza, Teotihuacan, and vibrant traditions like Día de los Muertos, Mexico blends indigenous and Spanish influences in its art, cuisine, and festivals. Today, it is a diverse nation celebrated for its contributions to global culture, from mariachi music to UNESCO World Heritage sites.

Canada

Canada is a vast North American country known for its diverse landscapes, multicultural cities, and rich Indigenous heritage. Officially established as a confederation in 1867, it evolved from Indigenous settlements, French and British colonization, and later waves of immigration. Today, Canada is celebrated for its inclusivity, natural wonders like the Rocky Mountains and Niagara Falls, and cultural landmarks such as the historic Quebec City and Parliament Hill in Ottawa.

China

China, one of the world’s oldest civilizations, has a recorded history spanning over 5,000 years, marked by dynasties like the Qin, Han, Tang, and Ming. It is home to iconic cultural sites such as the Great Wall, the Terracotta Army, and the Forbidden City, reflecting its rich heritage and imperial past. Today, China blends ancient traditions with rapid modernization, playing a major global role in economy, culture, and technology.

India

India is a diverse and culturally rich country in South Asia, known for its ancient civilizations, vibrant traditions, and historical landmarks like the Taj Mahal. With a history spanning over 5,000 years, it was home to the Indus Valley Civilization and later saw the rise of major empires like the Mauryas, Mughals, and British colonial rule before gaining independence in 1947. Today, India is the world’s largest democracy, celebrated for its spiritual heritage, festivals, and contributions to art, science, and philosophy.

White House

The White House, located in Washington, D.C., is the official residence and workplace of the President of the United States. Completed in 1800, it was designed by James Hoban in a neoclassical style and has served every U.S. president since John Adams. The building was burned by British forces during the War of 1812 but was later restored and expanded, becoming a symbol of American democracy and leadership.