#TARIFF #India #TRUMP
India pauses US arms deals after Trump’s tariff hike
New Delhi has put on hold its plans to procure new US weapons and aircraft, according to three Indian officials familiar with the matter, marking a clear sign of discontent after tariffs imposed on its exports by President Donald Trump strained bilateral ties to their lowest level in decades.
Defence Minister Rajnath Singh’s planned visit to Washington to announce some of these purchases has been cancelled, two of the sources said.
Reuters reports that this pause in procurement comes after Trump on August 6 imposed an additional 25% tariff on Indian goods in response to Delhi’s purchases of Russian oil, which the US administration said was effectively funding Russia’s attack of Ukraine. This tariff increase brought the total duties on Indian exports to 50%, among the highest of any US trading partner.
India remains actively engaged in discussions with Washington. One official said the defence purchases could proceed once India gains clarity on tariffs and the overall direction of bilateral ties, but “just not as soon as they were expected to,” Reuters added. Another official noted that no formal instructions have been issued to pause the purchases, indicating Delhi could quickly reverse its decision, though “there was no forward movement at least for now.”