"A Wake-Up Call": Amitabh Kant As US's 50% Tariffs On Indian Goods Kick In

The United States' imposition of 50 per cent tariffs on Indian goods should be a wake up call for New Delhi, which should not yield to global pressure, former Niti Aayog CEO and former G20 Sherpa Amitabh Kant said on Wednesday.

His remarks came as an additional 25 per cent tariff imposed by US President Donald Trump on India over the latter's purchase of Russian oil came into effect, bringing the total amount of levies imposed to 50 per cent. Mr Trump had announced reciprocal tariffs of 25 per cent that came into effect on August 7, when tariffs on about 70 other nations also kicked-in.

In a post on X, Mr Kant said it was quite "ironical" for the US to impose such levies on India, amid Washington's continuous negotiations with Russia and China, even as Beijing remains the largest buyer of Moscow oil.  

"Trump's tariffs must be a wake-up call for India. The irony is striking: the U.S. is actively negotiating with Russia and China, the latter being the largest buyer of Russian oil, yet chooses to target India with tariffs instead," he wrote on the micro-blogging site. 

Trump's tariffs must be a wake-up call for India. The irony is striking: the U.S. is actively negotiating with Russia and China, the latter being the largest buyer of Russian oil, yet chooses to target India with tariffs instead. Let us be clear, this is not about Russian oil.…

— Amitabh Kant (@amitabhk87) August 27, 2025

The US earlier threatened sanctions on Moscow and secondary sanctions on countries that buy its oil if no moves are made to end the war in Ukraine. China and India are the top two buyers of Russian oil. 

"Let us be clear, this is not about Russian oil. It is about India's energy security and strategic autonomy, which we should never compromise. India has, on numerous occasions, refused to yield to global pressure. This moment should be no different," Mr Kant said.

Rather than intimidating India, "these global headwinds must galvanise India into bold, once-in-a-generation reforms, while also diversifying our export markets to secure long-term growth and resilience", he added. 

India has condemned the "unfair, unjustified and unreasonable" imposition of tariffs that is likely to hit sectors such as textiles, marine and leather exports hard. With this action singling out New Delhi for the Russian oil imports, India will attract the highest US tariff of 50 per cent along with Brazil. 

According to sources, US and Russian government officials discussed several energy deals on the sidelines of negotiations this month that sought to achieve peace in Ukraine. These deals were put forward as incentives to encourage the Kremlin to agree to peace in Ukraine and for Washington to ease sanctions on Russia, the sources said.

Mr Trump has threatened to impose more sanctions on Russia unless peace talks make progress and to place harsh tariffs on India. Those measures would make it difficult for Russia to maintain the same level of oil exports. 

Besides, top US and Chinese officials also held trade talks, to secure a breakthrough over export controls for goods such as rare earths, earlier this month. The talks came at a crucial time for both economies, with customs data showing that China's exports to the US plunged 34.5% in May, the sharpest drop since February 2020, when the outbreak of the Covid-19 pandemic upended global trade.