'India will never compromise...': PM Modi's firm response after Trump imposes 50% tariff

In what seems to be a response to US President Donald Trump's tariff war, Prime Minister Narendra Modi has said that he won't compromise the interests of farmers, dairy farmers and fishermen, even if he has to pay a price for it. His comments come amid rising trade tensions after the US announced a 50% tariff on Indian imports. arlier, reports indicated that India is not agreeing to any terms by the US in the trade deal that would affect its farmers and dairy sector.

Speaking at the MS Swaminathan Centenary International Conference, Prime Minister Modi said, "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 personally, I will have to pay a heavy price for it, but I am ready for it. Today, India is ready for the country's farmers, fishermen and dairy farmers..."

On August 1, Trump issued an executive order late on Thursday (July 31) to increase and modify tariffs on its trading partners, citing an ongoing national emergency. This was in continuation of his ‘Liberation Day’ tariffs that he announced on April 2. He had paused the April 2 tariffs, giving countries a window of 90 days to sign a trade deal with America. The new tariff structure ranged from 10 per cent to 41 per cent, depending on the country and product type. India faced 25 per cent tariff in the announcement made on that day as it was unable to strike a trade deal with the US. He then announced an additional tariff of 25 per cent on India for buying Russian oil and warned about doing the same with other nations. While the 25 per cent tariff announced on Aug 1 has come into effect today, the additional sanction will come into place 21 days from now.

Trump's additional 25 per cent tariff on India

Trump signed an executive order on Wednesday (Aug 6) announcing that India will face an extra 25 per cent tariff over and above the 25 per cent rate announced last week. While the 25 per cent rate is effective from August 7, 2025, the newly announced additional tariff will come into place 21 days from now. "The ad valorem duty imposed...shall be in addition to any other duties, fees, taxes, exactions, and charges applicable to such imports...," the order said. "I find that the Government of India is currently directly or indirectly importing Russian Federation oil. Accordingly, and as consistent with applicable law, articles of India imported into the customs territory of the United States shall be subject to an additional ad valorem rate of duty of 25 percent," it said.

The Ministry of External Affairs reacted to the additional import tariff and called it “unfair, unjustified and unreasonable”, adding that “India will take all actions necessary to protect its national interests”. "The United States has in recent days targeted India’s oil imports from Russia. We have already made clear our position on these issues, including the fact that our imports are based on market factors and done with the overall objective of ensuring the energy security of 1.4 billion people of India," said the MEA in its statement.