In a move that could shake up global trade, former President and current candidate Donald Trump has announced a 25% tariff on all imports from India, effective August 1. The measure, unveiled during a campaign rally in Michigan, a key battleground state, is intended to “protect American industry from unfair trade practices,” according to Trump.
The announcement caught analysts and markets off guard, as India has long been viewed as a strategic economic and geopolitical partner for the U.S. in the Indo-Pacific region. Still, Trump argued that current agreements favor New Delhi unfairly and vowed to renegotiate bilateral deals if he returns to the White House.
Is this move a campaign tactic to win over voters?
Experts believe the measure is aimed at bolstering Trump’s support in industrial swing states. “It’s not just about economics, it’s political,” said Laura Mendoza, an economist at the International Trade Center. “Trump is positioning himself as the defender of American workers against foreign competition.”
India has yet to issue an official response, but Prime Minister Narendra Modi’s government is expected to consider potential retaliatory measures or negotiations to ease the impact. Key industries like technology, textiles, and pharmaceuticals may be affected.
With this decision, Trump once again puts tariffs at the center of the electoral debate, reopening an old wound in international trade.
