PM [1]
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Donald Trump's post on Truth Social early Thursday (6.46am EST, 5.16pm IST) - hours before he meets Prime Minister Narendra Modi in Washington, D.C. - has reconfirmed, if confirmation were necessary, that much, if not all, of the conversation between them will focus on import duties, and underscored the US President's continuing fondness to weaponise the tariffs.
In a brief but shouty post, complete with the trademark self-congratulatory hyperbole, this evening Trump wrote, "THREE GREAT WEEKS, PERHAPS THE BEST EVER, BUT TODAY IS THE BIG ONE: RECIPROCAL TARIFFS!! MAKE AMERICA GREAT AGAIN!!!"
The 'reciprocal tariffs' post was an echo from Wednesday, when he committed to orders that could trigger new fronts in a fast-growing trade war with other nations, including allies.
Trump has insisted his 'reciprocal tariffs' charge - essentially an 'eye for an eye' response to countries that have import duties on American products - is "the only fair way to trade".
The White House had said Wednesday that Trump's 'reciprocal tariff' plan could be announced before his meeting with PM Modi later today. Should that happen, it will be seen, at least by the Trump administration, as sending the world a message about the US' position on tariffs.
Mr Modi reached the United States earlier today for a first bilateral meet since Trump was elected to a second term in November, on the back of a hardline nationalist agenda that included promises to deport illegal immigrants and jumpstart a stuttering manufacturing sector.
Action on the former front included sending a military planeload of 104 Indians who entered the US illegally. The manner of deportation - the deportees were shackled - triggered a row in India.
On the latter front, Trump slapped 25 per cent tariffs on steel and aluminium imports, a move he hopes will boost production, and consumption, of the same products made by US companies.
The 25 per cent tariff applies to India too, and that is what the PM will be expected to raise during his talks with Trump. India is not a particularly large supplier of steel to the US, but it is one of the world's largest primary producers of aluminium and America is its top export market.
Aluminium exports to the US, therefore, could see a drop, industry executives told Reuters this week. Aluminium producers - such as Vedanta and Hindalco - would eventually find alternative markets, but it will take time for these to absorb the excess.
Ahead of his visit to the US, the Prime Minister spoke of the "collaboration" between himself and Trump during the latter's first term (2017-2021) and that he hoped strong personal ties would help the India-US partnership deepen in crucial sectors like technology, trade, and defence.
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"Chance To Build On Our Collaboration": PM Modi On Meeting Trump In USTrump has previously called India a "very big abuser" on trade, and his top economic adviser Kevin Hassett singled out the country as having "enormously high" tariffs in a CNBC interview.
Trump Targets India
Last month he named India, Brazil, and China as countries "mean us harm".
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"America First": Trump Vows Tariffs On Nations That "Mean To Harm" USAmid Trumps' tirade on tariffs, India this month slashed custom duties on import of American products, such as high-end motorcycles and cars, and smartphone components, in a move that is expected to benefit American corporate giants like Harley-Davidson, Tesla, and Apple.