50% US Tariff Shock: India’s Ambassador Meets Trump Ally as Energy Dispute Escalates

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In a high-stakes diplomatic engagement, India’s Ambassador to the United States, Vinay Mohan Kwatra, met with Republican Senator Lindsey Graham to discuss ways to boost bilateral energy trade and share New Delhi’s perspective on energy security.

The meeting comes at a tense moment in US–India relations, with Washington imposing its steepest tariffs on any Asian nation — a cumulative 50% tariff on Indian imports. Former US President Donald Trump announced a 25% reciprocal tariff on July 31, followed by an additional 25% levy this week.

The punitive measures were introduced over allegations that India has been importing Russian oil, either directly or through intermediaries. Senator Graham, a close Trump ally, has previously called for 100% tariffs on nations like India and China that purchase Russian crude. He has also asserted that assisting Trump in ending the Ukraine conflict would be “the most consequential action” India could take in its relationship with Washington.

Prime Minister Narendra Modi has pushed back firmly, declaring that India will not compromise on national interest, particularly when it comes to safeguarding farmers’ welfare. The Ministry of External Affairs (MEA) echoed this stance, accusing the US of double standards.

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In its statement, the MEA stressed that India’s energy import decisions are guided solely by market dynamics and the imperative of ensuring energy security for 1.4 billion citizens. The ministry underlined that India’s diversified energy strategy is critical for meeting domestic demand while maintaining stable prices.

This latest tariff dispute underscores growing friction between Washington and New Delhi — even as both nations continue to seek deeper strategic and economic ties in areas such as defense, technology, and energy.

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