The 50% tariff imposed by former US President Donald Trump on India was a direct consequence of India’s refusal to allow his mediation between India and Pakistan, as detailed in a report by Jefferies. Trump’s intention to mediate in the dispute between India and Pakistan was rebuffed. The report highlights that the tariffs stemmed from Trump’s anger over not being involved in the resolution process. The report also underscores that Trump’s decision to impose tariffs disregarded potential economic drawbacks. Furthermore, the report notes that a key factor in the dispute is the Indian government’s reluctance to liberalize its agricultural sector due to its implications for the livelihoods of millions of farmers. The report also points to the Ukraine conflict, which Trump was unable to end and India’s continued purchases of Russian oil as influencing factors.
