India's FIRST response to Donald Trump's announcement of 25 per cent tariff, says, 'Remain committed to...'

After the Donald Trump-led US administration announced a 25 per cent tariff on India, the Indian government confirmed that it has taken note of the same, emphasising its commitment to a "fair, balanced and mutually beneficial trade agreement". 

"The government has taken note of a statement by the US President on bilateral trade. The government is studying its implications. India and the US have been engaged in negotiations on concluding a fair, balanced, and mutually beneficial bilateral trade agreement over the last few months. We remain committed to that objective", it said in an official statement. 

The government highlighted that it focuses on the welfare of farmers, entrepreneurs, and MSMEs. "The government will take all steps necessary to secure our national interest, as has been the case with other trade agreements, including the latest Comprehensive Economic and Trade Agreement with the UK." 

"25 percent tariff plus penalty"

US President Donald Trump on Wednesday, i.e., July 30, took to social media platform Truth Social to announced the tariff rate to be imposed on India from August 1. Trump announced a “25 per cent tariff plus penalty” on India. “"Remember, while India is our friend, we have, over the years, done relatively little business with them because their Tariffs are far too high, among the highest in the World, and they have the most strenuous and obnoxious non-monetary Trade Barriers of any Country".

The US President cited India’s trade ties with Russia as a reason to impose a penalty on New Delhi. “Also, they have always bought a vast majority of their military equipment from Russia, and are Russia's largest buyer of ENERGY, along with China, at a time when everyone wants Russia to STOP THE KILLING IN UKRAINE - ALL THINGS NOT GOOD! INDIA WILL THEREFORE BE PAYING A TARIFF OF 25%, PLUS A PENALTY FOR THE ABOVE, STARTING ON AUGUST 1st. THANK YOU FOR YOUR ATTENTION TO THIS MATTER. MAGA!"

However, Trump did not mention what exactly the penalty would entail.

Prior to the announcement, Trump said in a conversation with mediapersons that even though India is a friend, the country has levied higher tariffs on American goods than any other nation. "Yeah, I think so. India is my friend. They ended the war with Pakistan at my request...The deal with India is not finalised. India has been a good friend, but India has charged basically more tariffs than almost any other country...” President Trump told the reporters in a video shared by ANI.