New Delhi: There is no end in sight to the cold war between India and the US over Donald Trump’s tariff war.
Even as the US President said “we’ve lost India and Russia to deepest, darkest, China,” and one of his aides said New Delhi will give in to American pressure over tariffs, Union Finance minister Nirmala Sitharaman reaffirmed on Friday that India will continue to import Russian oil as it remains cost-effective, despite steep tariffs imposed by the US on Indian goods.
“We will have to take a call which (supply source) suits us the best. So we will undoubtedly be buying it,” Sitharaman told CNN-News18.
“Whether it is Russian oil or anything else, it’s our decision to buy from the place which suits our needs whether in terms of rates, logistics, anything,” the Finance minister added.
Adding fuel to the fire, US Commerce Secretary Howard Lutnick said that India cannot afford to defy Washington for long, predicting that Narendra Modi’s government will come back to the negotiating table within “a month or two.”
“I think, yes, in a month or two months, I think India is going to be at the table and they’re going to say they’re sorry and they’re going to try to make a deal with Donald Trump,” he said. “And it will be on Donald Trump’s desk how he wants to deal with (Narendra) Modi, and we leave that to him. That’s why he’s the President.”
Lutnick issued a sharp warning to India, laying out three conditions to escape 50% American tariffs.
“India doesn’t want to open their market. Stop buying Russian oil. And stop being a part of BRICS. If you want to be the bridge between Russia and Chinago be it! But either support the dollar, support the United States of America.. support your biggest client or pay 50% tariffs. And let’s see how long this lasts,” Lutnick said.
“It’s all bravado because it feels good to fight with the biggest client. But eventually, businesses will demand a deal with America,” he said.
