The Parliamentary Standing Committee on External Affairs, led by Congress MP Shashi Tharoor, is scheduled to receive a briefing from the government today on the latest developments in India's foreign policy, with a particular focus on relations with the United States. Representatives from the Ministry of External Affairs (MEA) and the Ministry of Commerce and Industry will provide the briefing. The session is scheduled to begin at 4 PM.
The briefing comes at a crucial juncture in India-US relations, particularly concerning trade negotiations and tariffs. The United States has recently doubled the duty on goods imported from India to 50%, a move that is set to take effect on August 28. This increase would make India subject to the highest tariffs levied on any US trading partner besides Brazil. The MEA has already characterized this tariff hike as "extremely unfortunate," affirming that India will take all necessary measures to protect its national interests.
The panel intends to discuss India's stance in trade negotiations, its broader foreign policy objectives, and the potential ramifications of the recent changes in US trade policy. The government's representatives are expected to detail the progress made in trade negotiations with the US and outline the steps being taken to address the situation.
Earlier in the week, Shashi Tharoor expressed his concerns about the evolving relationship between India and the US, emphasizing the need for India to safeguard its own interests. He acknowledged the concerning shift in behavior from a country with which India has historically shared close relations and strategic partnerships. Tharoor suggested that India might need to re-evaluate its approach and consider various factors in light of these changes. He also expressed hope that talks could be held within the coming weeks to find a way out, underscoring the importance of India looking after its own interests.
The MEA has previously informed the parliamentary panel that the US decision to impose secondary sanctions on India had forced it into a geopolitical situation not of its own making. Despite the challenges and erosion of trust, India has maintained its commitment to engaging constructively with the US.
This briefing is particularly significant considering the potential impact of the increased tariffs on Indian exporters. Last year, India's exports to the US totaled approximately $87 billion, making the US India's largest export market. The annual trade between the two countries is valued at over $190 billion. A sharp decline in India's exports to the US could adversely affect India's GDP growth.
In February 2025, Foreign Secretary Vikram Misri briefed the same parliamentary committee, also chaired by Tharoor, on Prime Minister Narendra Modi's recent visit to the United States and other foreign policy developments. Tharoor described that briefing as "very good," noting that members raised numerous questions about the Indo-US relationship in the context of the Prime Minister's visit, and the Foreign Secretary provided comprehensive answers.