President Donald Trump has announced plans to raise tariffs on Indian goods following India’s oil trade with Russia. Trump said India is making money from oil purchased from Russia while ignoring the ongoing war in Ukraine.
Probable Trump Tariffs Raise Risks Straining On U.S.-India Ties
In a statement on TruthSocial, Trump criticized India for buying large amounts of Russian oil and reselling it on the open market for profit. He accused Indian authorities of not caring about the lives lost due to Russia’s military actions in Ukraine.
Trump linked India’s oil trade to continued Russian aggression, calling it part of the “Russian War Machine.” As a result, Trump confirmed that he will substantially raise tariffs paid by India to the U.S. He did not provide specific figures or dates for the new tariff rates.
When U.S. President Donald Trump announced a 25% tariff on India on July 30, BTC price dropped sharply. India has faced criticism from several Western leaders for increasing its oil imports from Russia since the war in Ukraine began.
The U.S. has previously avoided direct economic retaliation against India over its energy policy. The new tariff threat by Trump indicates the shift that may erode the trade relationship between the United States and India.
India is a rapidly growing economy and a significant trade partner of the United States. Products that might be affected by the increased tariffs include pharmaceuticals and textiles.
The increased tariff imposed by United States has provoked a response from India. It has vowed to safeguard its national interests and economic security. Randhir Jaiswal, The nation’s official spokesperson for the Ministry of External Affairs stated on X that India will not hesitate to rise to the occasion in case the U.S. proceeds with this move.
Rally Fizzles as BTC Dips Below $115,000
Trump’s announcements always affect the financial markets. Earlier, the crypto market rallied after Trump stated that he would soon announce a Fed Governor who supports rate cuts.
However, the market declined slightly after the latest development with Bitcoin (BTC) trading below $115,000. BTC spiked to an intraday high of $115,524 before quickly dropping below $115,000 after Trump’s new India tariff plan.
As seen in the CoinMarketCap chart, Bitcoin was rising all night until 3:00 PM when it sharply rose to an intra-day high above $115,500. But the rally was very short-lived.
Following the announcement of the tariff, Bitcoin went down and fell to approximately $114,600. At the time of writing, Bitcoin is falling back again removing parts of its previous gains.
Paul
Paul Adedoyin is a crypto journalist with 4+ years experience who provides timely news, in-depth research, and insightful content to inform and empower his audience. His works have been featured on sites such as CryptoMode, CryptoNewsFlash among others.
He holds a degree in Geophysics from OAU, Nigeria. When he’s not writing, he loves watching soccer and reading educative journals.
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Source: https://coingape.com/trump-tariffs-u-s-president-plans-to-raise-indias-tariff/