External Affairs Minister S. Jaishankar has firmly stated that India will not compromise on its "red lines" in ongoing trade negotiations, particularly concerning the interests of its farmers and small producers. Speaking at an event in New Delhi, Jaishankar addressed several points of friction between India and the United States, including rising tariffs, energy purchases, and differing approaches to Pakistan.
Jaishankar criticized the U.S. for what he termed "unjustified and unreasonable" tariff hikes imposed by the Trump administration. These include a potential doubling of tariffs on Indian goods to 50%, with an additional 25% penalty linked to India's purchase of Russian oil. He emphasized that trade is the major issue between the two countries.
"The negotiations are still going on. The bottom line is, we have some red lines. And those are the interests of our farmers and small producers. That's not something we can compromise on," he added. He also emphasized India's commitment to strategic autonomy. "So, when it comes to trade and the interests of farmers, when it comes to our strategic autonomy, when it comes to opposition to mediation, this govt is very clear".
Jaishankar also addressed the U.S.'s concerns regarding India's energy ties with Russia. He defended India's right to make autonomous decisions, highlighting that Europe and America also engage in similar transactions. "If you have a problem buying oil or refined products from India, don't buy it. Nobody is forcing you. But Europe buys, America buys – so if you don't like it, don't buy it," the EAM said, terming Washington's accusations as politically motivated. He also pointed out the inconsistency in the U.S. approach, questioning why similar standards weren't applied to China and the European Union, who are also major importers of Russian oil and LNG. Jaishankar reiterated that India's oil purchases from Russia helped stabilize global prices. He said that the Biden administration had not raised issues with India's oil buying.
Furthermore, Jaishankar rejected any third-party mediation in India's relationship with Pakistan. He emphasized that this stance reflects a national consensus that has been in place for over 50 years.
Despite these points of contention, Jaishankar maintained that communication channels between India and the U.S. remain functional. "We are two big countries, we need to have conversations and we will see how it goes," he said. He acknowledged that disagreements are inherent in relationships between large nations, stating, "There are bound to be areas where you work together and areas where you argue with each other".
Jaishankar also addressed concerns about India's trade relationship with China. He acknowledged the importance of a predictable flow of fertilizers, machinery, and other essential components for various Indian industries. "For our farmers, a predictable flow of fertilisers is important. For those in infrastructure, getting machinery from China is important. For our auto industry, an uninterrupted flow of magnets is important". He advocated for addressing these issues with China to support Indian businesses and workers.
