Union external affairs S Jaishankar said that the secondary tariff is very unfair, and the United States has to respect India’s “Red Lines”.
While addressing the fourth Kautilya Economic Conclave, Jaishankar said, “Yes, we have issues with the US today. A big part of it is the fact that we have not arrived at a landing ground for our trade discussions, and the inability so far to reach there has led to a certain tariff being levied on India. In addition, there is a second tariff which we have said we regard as very unfair, which has picked on us for sourcing energy from Russia when there are other countries that have done so, including countries that right now have a far more antagonistic relationship with Russia than we do…I don’t think that we should take it to a point as though this is going to percolate to every dimension of the relationship, I think we need to see this in proportion.”
#WATCH | 4th Kautilya Economic Conclave | Delhi: On India-US issues, EAM Jaishankar says, "Yes, we have issues with the US today. A big part of it is the fact that we have not arrived at a landing ground for our trade discussions, and the inability so far to reach there has led… pic.twitter.com/d89Rxf7WQ4
— ANI (@ANI) October 5, 2025
“I deal in a world of realities, and my reality right now is at 25 per cent and 25 per cent of a 50 per cent tariff, and that is what right now we are negotiating. So, whatever happens at the end of the day there has got to be a trade understanding with the United States. There has to be one because it is the world’s largest market but also because much of the world has reached those understandings. But it has to be an understanding where our bottom lines, our red lines are respected,” he said.
Terming the trade relations “one-sided”, President Donald Trump slapped 50 per cent tariffs on India, citing the country’s crude oil import from Russia, which is fueling the war in Ukraine.
The new reciprocal tariff rates by the US Customs and Border Protection (CBP) are in effect from August 27.
Emphasising the need to have a common consensus, Jaishankar stated, “In any agreement, you know, there are things you can negotiate and there are things you can’t. And I think we are pretty clear about that and we have to find that landing ground. And that’s been the conversation really which has been going on since March.”
In addition, last month, Commerce and Industry Minister Piyush Goyal concluded his high-level trade visit, which the ministry described as ‘positive.’
The Ministry stated that both sides have agreed to accelerate efforts toward an “early and mutually beneficial conclusion” of the proposed trade pact.
Jaishankar Going further, External Affairs Minister S Jaishankar said the conversation around diversifying trade has been ongoing, with a clear focus on shifting more towards Asia.
