**Trump Tariffs Loom: Rahul Gandhi Critiques Modi’s Stance on Trade Deal**
As the deadline for Donald Trump’s reciprocal tariffs approaches, Congress MP Rahul Gandhi has voiced concerns that Prime Minister Narendra Modi may concede to the impending tariffs amid ongoing trade negotiations. With just three days remaining before the tariffs are set to take effect, Gandhi’s remarks highlight the tension surrounding the stalled trade deal between India and the United States.
Union Minister Piyush Goyal has emphasized that India will only pursue a trade agreement with the US if its national interests are adequately protected. Despite earlier reports suggesting that an interim trade deal could be finalized before the July 9 deadline, the negotiations remain unresolved.
Gandhi took to Twitter to express skepticism about the government’s position, stating, “Piyush Goyal can beat his chest all he wants. Mark my words, Modi will meekly bow to the Trump tariff deadline.”
The backdrop to this situation includes Trump’s previous characterization of India as a “tariff king,” having announced a 26% duty on Indian goods as part of his “Liberation Day” tariffs on April 2. Although these tariffs were temporarily suspended for 90 days to allow for negotiations, the absence of a trade agreement means India must brace for the potential implementation of these tariffs.
Key issues in the negotiations include India’s reluctance to lower tariffs on American agricultural imports, such as maize and soybeans, and the Trump administration’s demand for increased access to India’s dairy sector, which is vital to the livelihoods of over 80 million people. Conversely, India is seeking greater access to US labor-intensive industries, including textiles, gems and jewelry, leather goods, and chemicals.
Despite the challenges, Goyal reiterated India’s commitment to safeguarding its agricultural and dairy sectors, stating, “India never enters into trade deals based on deadlines or time pressure. It should be a win-win agreement, and only when India’s interests are safeguarded, if a good deal is formed, India is always ready to engage with developed countries.”
As the deadline approaches, the outcome of these negotiations remains uncertain, with significant implications for both nations’ economies.
**FAQ**
**What are the potential impacts of Trump’s tariffs on India?**
The implementation of Trump’s 26% tariffs could significantly affect Indian exports to the US, potentially leading to increased costs for Indian businesses and consumers, and straining trade relations between the two countries.
