Trump’s 25% Tariff Forced India to Cut Russian Oil Imports: US Treasury Chief
Former US Treasury Secretary Scott Bessent has stated that India complied with US pressure following Donald Trump’s tariffs, a move he claims Europe and China resisted. His remarks highlight ongoing US leverage in trade negotiations as Trump campaigns for a 2024 return.
Key Takeaways
- Former US Treasury Chief Scott Bessent says India “fell in line” after Trump-era tariffs.
- He contrasts India’s compliance with the resistance from Europe and China.
- The comments signal continued US pressure on India ahead of potential Trump re-election.
“Very Effective” Tariff Strategy
In a CNBC interview, Bessent, founder of Key Square Group, called Trump’s tariffs “very effective” in altering foreign behavior. He specifically pointed out, “India fell in line. Europe didn’t, China didn’t.”
He clarified the policy’s intent, stating it was “not about protectionism” but focused on “getting other countries to change their behaviour.”
Context of US-India Trade Tensions
The backdrop is a years-long trade dispute. In 2019, the Trump administration imposed tariffs on Indian steel and aluminium, prompting retaliatory tariffs from India on US products.
While both nations have been negotiating a trade deal, an agreement remains elusive. Bessent’s analysis is viewed as an indicator that the US continues to push for Indian concessions in these talks.
2024 Election Implications
Bessent’s comments surface as Donald Trump seeks the presidency again. Trump has pledged to enact even stricter tariffs on China if re-elected, suggesting a potential return to aggressive trade policies that directly impacted India’s economic decisions.
