The Economist Slams Trump Tariffs on India, Calls Move a ‘Grave Mistake’

New Delhi: The Economist has delivered a sharp critique of former US President Donald Trump’s recent tariff measures against India, calling the decision a “grave mistake” that risks unraveling decades of diplomatic progress.

In its August 29 edition titled “India’s Next Move,” the UK-based magazine argued that Washington’s strategy of imposing steeper tariffs on India than on China—while simultaneously courting Pakistan—has left New Delhi “humiliated, vindicated, and facing a defining test.”

“President Donald Trump has undone 25 years of diplomacy by embracing Pakistan after its conflict with India in May and now singling out India for even higher tariffs than China,” the article stated.

Rising Friction Over Trade and Energy

The tension comes amid Washington’s criticism of India’s continued purchases of Russian oil, which US officials claim help finance Moscow’s war in Ukraine. The Trump administration has accused India of profiteering by refining and reselling Russian crude, further straining ties.

Adding to the discord are stalled bilateral trade negotiations, with the US seeking greater access to India’s agricultural and dairy markets—an issue where New Delhi has maintained a firm stance.

Meanwhile, The Economist noted that Pakistan’s diplomatic ties with Washington have warmed significantly, highlighting visits by Pakistan Army chief General Asim Munir and Trump’s announcement of new partnerships with Islamabad, including a cryptocurrency venture and oil development projects.

India’s Strategic Response

The publication stressed that Trump’s approach risks alienating a vital partner: “For America to alienate India is a grave mistake. For India, it is a moment of opportunity: a defining test of its claim to be a superpower-in-waiting.”

With the US relationship under strain, India has turned to multilateral platforms like BRICS and the SCO, signaling its intent to diversify strategic ties. Prime Minister Narendra Modi is scheduled to attend the SCO leaders’ summit in Tianjin, China, on August 31, seeking to strengthen trade and diplomatic relations with Beijing.

The Economist advised India to boost its manufacturing base by expanding trade partnerships, even as it maintains access to American technology.