US President Donald Trump has firmly ruled out trade talks with India until the tariff dispute ends. The US has already imposed 50% tariffs on Indian goods. Notably, half took effect on Thursday, while the other half will start on August 27 as a penalty for India buying oil from Russia.

When a reporter asked if he expected trade talks after announcing the 50% tariffs, Trump shrugged and replied, “No, not until we get it resolved.”

Reason for new tariffs

Trump’s comments came just a day after the White House issued an executive order. In it, the US announced an extra 25% tariff on Indian goods. According to the White House, India’s trade with Russia “undermines US efforts to counter Russia’s harmful activities.”

Furthermore, it accused India of reselling Russian oil “often at significant profit.” It argued that such sales help fund Russia’s war in Ukraine.

Therefore, it said the 25% tariff will “deter countries from supporting the Russian Federation’s economy through oil imports and impose serious economic consequences on the Russian Federation for its ongoing aggressions.”

Modi’s strong reply

In response, Prime Minister Narendra Modi delivered a firm message. He said India will never compromise on farmers’ welfare, even if it comes with a high economic cost.

“For us, the interest of our farmers is our top priority. India will never compromise on the interests of farmers, fishermen and dairy farmers. I know we will have to pay a heavy price for it, and I am ready for it. India is ready for it,” Modi said.