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Informist, Friday, Aug. 1, 2025

 

--Foreign min: See India, US partneship grow further under trade deal 
--Foreign min: To buy energy based on offers in mkt, global situation 
--Foreign min: Confident India, US relationship will move further 
--CONTEXT: Foreign ministry's comments at media briefing 
--Foreign min: India, US ties stood test of time 
 

NEW DELHI – Amidst the rising diatribe against India from US President Donald Trump, the Indian government Friday expressed optimism that relationships between the two countries will improve, given the fact that they have weathered many storms before. The relationship between the two nations will grow further under the proposed Bilateral Trade Agreement, External Affairs Spokesperson Randhir Jaiswal said at a media briefing.

 

"India and the US share a comprehensive global strategic partnership anchored in shared interests, democratic values and robust people-to-people ties," Jaiswal said. "This partnership has weathered several transitions and challenges. We remain focused on the substantive agenda that the two countries have committed to and are confident that the relationship will continue to move forward," Jaiswal said. 

 

Trump had on Wednesday announced a 25% tariff on Indian goods shipped to the US, along with an additional penalty for India's procurement of military equipment and energy from Russia. "Remember, while India is our friend, we have, over the years, done relatively little business with them because their Tariffs are far too high, among the highest in the World, and they have the most strenuous and obnoxious non-monetary Trade Barriers of any Country," Trump had said on his social media platform Truth Social.

 

Trump took to social media again on Thursday and said he does not care "what India does with Russia. They can take their dead economies down together, for all I care." In an interview, US Treasury Secretary Scott Bessent said the US president and his entire trade team were "frustrated" with India over stalled trade talks.

 

These scathing comments have added to the woes of Indian exporters, who were hoping the trade agreement – which is now far from conclusion – with the US would provide a cushion and shield India from adverse tariff impact. The 25% duty plus penalty could significantly hurt India's exports, as the US is India's top export destination with a share of nearly 20% in total outbound shipments in value terms. India exported goods worth $86.51 billion to the US in 2024-25 (Apr-Mar) and had a trade surplus of $40.82 billion, according to commerce ministry data.

 

India's worry is currently not just about the 25% tariff, but also the US's rising displeasure with India's energy procurement from Russia. India and Russia have maintained close economic ties for several years now. While traditionally India has relied on Moscow for military equipment, New Delhi has become one of the biggest buyers of its crude oil since Russia invaded Ukraine in February 2022.

 

Jaiswal said India will stick to its broad approach, which is "we look at what is there available in the market on offer and what is the prevailing global situation or circumstances." To be fair, India has maintained for a long time that it is not fixated on Russian oil and will import from any country that is suitable. 

 

India has been buying crude oil from Moscow at discounted prices amid sanctions by Western countries on Russia after it invaded Ukraine. The Group of Seven developed nations had initially imposed a $60 a barrel price cap on Russian crude and later imposed more sanctions to try to curb Moscow's oil sales.  End

 

US$1 = INR 87.54

 

Reported by Priyasmita Dutta

Edited by Saji George Titus

 

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