Do you agree with PM Modi that India can turn this crisis to an opportunity?

The much feared 50% tariff on India was officially imposed on India on 27 August 2025 by the Donald Trump administration. Although Indian Foreign Ministry officials called this high reciprocal tariff and penalty ‘unjustified’, PM Modi and EAM S Jaishankar didn’t made any statements.

PM Modi however responded with his actions. PM Modi visited Japan on 30 August 2025 and besides the political level talks, he visited a semi-conductor plant and signed 13 agreements. PM Modi urged Japanese businesses for collaborations in manufacturing, mobility, next-generation infrastructure, innovation, start-ups and small businesses. Japan pledged $65 Billion investment over next 10 years.

Then PM Modi went to Ch!na. The SCO summit was largely photo-optics and no business deals were concluded. But the photo-optics ensured that Donald Trump lament that ‘Russia and India was lost to deepest, darkest Ch!na’.

Then the German Foreign Minister came to India and claimed ‘for them India is Asia’. Germany is keen to conclude India-EU FTA by this year and seems to be not keen to follow American dictate to impose secondary tariff of India selling oil to European countries. India became largest Diesel supplier to Ukraine in August 2025 and EU increased petroleum products from India. USA failed to stop Indian purchase of Russian oil by issuing threats as Russia increased oil discounts for India. USA threatened penalty to India but failed to prevent European country buy oil from India.

Then EU leader came to India with objective of deepening economic ties with India. Cleary NATO ally EU countries are not happy with Donald Trump’s arm twisting tariff techniques.

Clearly, Trump tariff backfired

Now Singapore’s PM is visiting India in the first week of September 2025. Singapore is one of the largest FDI source in India. Singapore is unhappy with USA tariffs. A minister said in the past, ‘Singapore always had 0% duty on USA products but they have unfairly imposed 10% safeguard duty on Singapore products’. Clearly, USA allies like EU, Japan, Korea, Taiwan, Singapore etc. are drifting away from USA due to Donald Trump’s blunder on Tariff policy. Just like PM Modi turned Russia-Ukraine war crisis into an opportunity, PM Modi also converted Trump tariff crisis into an opportunity.

Picture source: Google / Respective rightful owner

'Lost India, Russia to deepest, darkest China': Trump's cryptic post amid tariff row; wishes for 'prosperous' future - The Times of India
US News: NEW DELHI: US President Donald Trump on Friday made a cryptic post expressing thinning hopes of a trade deal with India. Posting a picture of Prime Mi.
https://timesofindia.indiatimes.com/world/us/lost-india-russia-to-deepest-darkest-china-trumps-cryptic-post-amid-tariff-row-wishes-for-prosperous-future/articleshow/123717862.cms
'Obstacles to free trade': German deputy envoy backs India on Trump tariffs; calls for slashing duties to minimum | India News - The Times of India
India News: German envoy Georg Enzweiler criticized the US imposition of tariffs on various countries, deeming them \"obstacles to free trade.\" He advocated for mi
https://timesofindia.indiatimes.com/india/obstacles-to-free-trade-german-envoy-backs-india-on-trump-tariffs-calls-for-slashing-duties-to-minimum/articleshow/123521341.cms
Germany 'strongly' supports India-EU FTA by autumn: FM Johann Wadephul
Wadephul is on a two-day visit to India, which was planned earlier but comes on the heels of Prime Minister Narendra Modi's huddle with Russian President Vladimir Putin and Chinese President Xi
https://www.business-standard.com/external-affairs-defence-security/news/german-minister-backs-india-eu-fta-by-autumn-125090301573_1.html
Do not see India as dead economy....worlds fastest-growing economy: Danish Ambassador on 50% tariff on India - The Tribune
Kristensen dismissed the notion that India is a dead economy, citing its status as the worlds fastest-growing economy. He pointed to the ongoing negotiations between the EU and India on a free trade agreement as a testament to Indias economic potential.
https://www.tribuneindia.com/news/world/do-not-see-india-as-dead-economy-worlds-fastest-growing-economy-danish-ambassador-on-50-tariff-on-india/

 

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