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India says US trade negotiations are still going on as fresh tariffs loom

India Sets ‘Redlines’ in US Trade Talks, Says Jaishankar
  August 23, 2025

India’s Foreign Minister Subrahmanyam Jaishankar has made it clear that while trade talks with Washington continue, New Delhi will firmly protect its national interests.

Speaking at an event in New Delhi on Saturday, Jaishankar said: “We have some redlines in the negotiations, to be maintained and defended.” He stressed that the country’s farmers and small producers would remain a top priority.

Rising US Tariffs on Indian Goods

The statement comes just days before additional US tariffs of up to 50% are set to take effect. Washington has linked the duties to India’s rising imports of Russian oil. A 25% tariff is already in place, and another 25% will be enforced starting August 27.

Bilateral trade between the two countries — the world’s largest and fifth-largest economies — is valued at over $190 billion. However, recent talks collapsed after India refused to open up its agricultural and dairy sectors.

Visit by US Negotiators Cancelled

A planned visit by American trade officials to India between August 25-29 has also been cancelled, lowering expectations of any immediate relief.

Analysts at Capital Economics have warned that if the full tariff package is implemented, India’s economic growth could fall by 0.8 percentage points this year and next. The long-term risk, they added, is that tariffs could weaken India’s positioning as a global manufacturing hub.

Jaishankar on Trump’s Policy Style

Commenting on the broader relationship, Jaishankar described US President Donald Trump’s public style of policymaking as “unusual” compared to previous administrations.

“We have not had a US president who conducts foreign policy so publicly,” he said, noting it marks a significant shift in diplomatic engagement.

Oil Purchases Under Spotlight

The minister also highlighted what he called “double standards” in Washington’s concerns about India’s Russian oil imports.

“If the argument is oil, then there are bigger buyers. If the argument is trade volume, then there are larger traders,” he said, pointing out that European and Chinese trade with Russia is far higher than India’s.

Jaishankar further noted that India’s oil purchases from Russia were never raised in earlier discussions with Washington before the tariffs were announced.

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