The time for a global trade war has come. U.S. President Donald Trump has long boasted about America’s ‘Liberation Day,’ and now it has arrived. Starting Wednesday, the United States will begin imposing retaliatory tariffs on several countries, causing significant global concern. Stock markets across multiple nations, including the U.S., are witnessing a downturn. The White House has made it clear that India will not be spared from high tariff hikes. White House Press Secretary Carolyn Levitt stated on Monday that President Trump will personally announce the tariffs for each country and sector.
The European Union has strongly stated that it will not be intimidated by U.S. tariffs. European Commission President Ursula von der Leyen, speaking in the EU Parliament on Tuesday, criticized America’s actions and emphasized that the EU has strong countermeasures ready. She clarified that this was not a trade war initiated by the EU but assured that Europe will respond appropriately. Von der Leyen highlighted that discussions should be prioritized, as excessive tariffs ultimately burden consumers by raising living costs. Meanwhile, Japan’s Prime Minister Shigeru Ishiba has appealed to Trump to exempt Japan from the tariff measures and is even willing to visit Washington for negotiations.
India, being the U.S.’s largest trading partner, is closely monitoring the impact of these tariff hikes. The Ministry of Commerce has stated that India is prepared to handle the situation, emphasizing that tariffs are aimed at protecting domestic markets. Minister of State for Commerce and Industry, Jitin Prasada, mentioned in Parliament that India has signed free trade agreements (FTAs) with 13 countries and is currently negotiating similar deals with the U.S., the EU, the UK, New Zealand, Oman, and Peru. Currently, India imposes an average tariff of 18% on U.S. goods, whereas U.S. tariffs on Indian imports are just 2.8%. This trade imbalance has been a point of contention between the two nations, with America expressing strong concerns over the trade deficit.
