Washington, D.C. – U.S. President Donald Trump has declared a pause on trade negotiations with India until the ongoing tariff dispute is resolved, following the White House’s decision to impose a 50% tariff on Indian imports. The announcement came during a press interaction at the Oval Office on August 7, 2025, when Trump was asked by ANI if he anticipated resumed trade talks in light of the new tariffs. “No, not until we get it resolved,” he responded, signaling a firm stance on the issue.
The tariff escalation stems from an executive order issued by the White House on August 6, 2025, which added a 25% tariff on Indian goods, bringing the total levy to 50%. The initial 25% tariff took effect on August 7, with the additional levy set to apply to all Indian goods entering U.S. ports starting August 27, except for items already in transit or under exempt categories. The administration justified the move by citing national security and foreign policy concerns, specifically pointing to India’s continued imports of Russian oil, which it claims undermine U.S. efforts to counter Russia’s actions.
In response, Indian Prime Minister Narendra Modi emphasized India’s unwavering commitment to protecting its farmers’ interests during a speech at the MS Swaminathan Centenary International Conference in New Delhi on August 7, 2025. Modi stated that India would not compromise on the welfare of its farmers, fishermen, and dairy producers, even if it meant facing significant economic consequences. “I know we will have to pay a heavy price for it, and I am ready for it. India is ready for it,” he affirmed, highlighting the priority of safeguarding domestic agricultural sectors.
The tariff dispute has disrupted ongoing trade negotiations between the two nations, which had reached their fifth round in July 2025 in Washington. A U.S. delegation was scheduled to visit India on August 25 for further discussions on a proposed bilateral trade agreement, but Trump’s recent remarks suggest a pause until the tariff issue is addressed.
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