Former US Ambassador to the United Nations Nikki Haley has cautioned that President Donald Trump’s tariff escalation against India could harm one of Washington’s most important strategic partnerships. Haley stressed that New Delhi is essential for the United States as it seeks to counter China’s growing influence in Asia.
Nikki Haley Criticises Tariff Policy
In an opinion piece published in Newsweek, Haley argued that India must not be treated the same as China. She criticized the Trump administration’s decision to impose additional tariffs on Indian goods over New Delhi’s continued oil trade with Moscow, calling the move “counterproductive.”
“Treating India like an adversary instead of a partner would be a massive — and preventable — mistake,” she wrote.
$50 Billion in Exports at Risk
The Trump administration has already imposed a 25% tariff on Indian imports and plans to increase duties further, affecting nearly $50 billion worth of shipments. According to India’s Commerce Ministry, $48.2 billion in merchandise exports will face a 50% tariff from August 27.
These tariffs are among the steepest levied on a major US trading partner and come at a time when Washington has been seeking closer cooperation with India in trade, technology, and defense.
India’s Role in US Strategic Interests
Haley emphasized that India is not just a trading partner but a strategic ally vital for America’s economic and security future. She highlighted several key areas where India strengthens US interests:
Diversifying global supply chains away from China.
Manufacturing at scale to meet global demand.
Expanding defense cooperation with Washington and its allies.
Leveraging its young demographic advantage and fast-growing economy.
“Scuttling 25 years of momentum with the only country that can counter Chinese dominance in Asia would be a strategic disaster,” she warned.
Haley’s Continued Advocacy
Haley, the first Indian American to serve in a US cabinet, ended her 2024 presidential campaign in March but continues to support Trump’s candidacy. However, she has not hesitated to voice concerns when she believes US foreign policy decisions could undermine long-term interests.
Her latest warning adds to growing debate in Washington over the consequences of escalating trade tensions with India at a time when closer ties are seen as crucial to balancing China’s rise in Asia.
Highlights:
Nikki Haley calls Trump’s India tariffs “counterproductive.”
$48.2B in Indian exports face 50% tariff from August 27.
Haley stresses India’s critical role in countering China’s rise.
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