

Trade Wars: Trump Targets India
Aug 18, 2025
Sadanand Dhume is a resident fellow at the American Enterprise Institute and a columnist for the Wall Street Journal, while Tanvi Madan is a senior fellow at the Brookings Institution with expertise in Indian foreign policy. They dive into the recent 25% tariff imposed by Trump on India and the resulting diplomatic crisis. The duo explores India’s strategic response, the complexities of trade negotiations, and the implications for India’s foreign policy amid U.S.-Pakistan dynamics. They also discuss the potential for resolution in the U.S.-India trade spat.
AI Snips
Chapters
Transcript
Episode notes
Tariff Surprise Upends U.S.-India Ties
- Trump's 25% executive order raised total U.S. tariffs on Indian imports to 50%, creating a sudden bilateral crisis.
- The move shocked policymakers because India had been a key strategic partner over the previous 25 years.
Three Causes Behind The Tariff Decision
- Sadanand Dhume identifies three strands: negotiation failures, Trump's preexisting view of India as a tariff problem, and fallout from the India-Pakistan episode.
- These combined to produce the unexpected 50% tariff outcome against India.
Personal Politics And Missing China Convergence
- Tanvi Madan says the moment is trickier because Trump's actions feel personal and China convergence is unclear.
- Without a shared China focus, incentives to smooth over differences have weakened.