‘Don’t have any illusions that…’: Tharoor on impact of Trump tariffs on India

Updated on: Sept 12, 2025 04:04 pm IST
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“Already, people are losing jobs. 1.35 lakh people in Surat have been laid off in the gems and jewellery business,” Tharoor said at an event in Singapore.

Congress MP and former global diplomat Shashi Tharoor on Friday said that the steep tariffs imposed by the United States have hit India’s economy hard, leading to large-scale job losses. The former central minister also launched a sharp attack on US President Donald Trump for what he described as “mercurial” conduct and disregard for diplomatic norms.

Congress MP Shashi Tharoor arrives to attend the Monsoon session of Parliament, in New Delhi.(PTI)
Congress MP Shashi Tharoor arrives to attend the Monsoon session of Parliament, in New Delhi.(PTI)

Speaking at a conference in Singapore, Tharoor said the US decision to impose a 50 per cent tariff, including 25 per cent as penalty for buying Russian oil, had made several Indian exports unviable in the American market.

“Already, people are losing jobs. 1.35 lakh people in Surat have been laid off in the gems and jewellery business. The seafood and manufacturing sectors are also facing heavy losses,” he said.

Stating that the tariff was hurting Indian economy, he added, “I don’t want anyone to have any illusions that we can just wash it up.”

Tharoor noted that India needs to diversify its export markets to cushion the blow. “We are finding it very difficult to get into the American market. The additional 25 per cent is not tariff; it is sanctions, and it is totally unfair because China is importing more oil and gas from Russia,” he said, urging Washington to adopt a uniform policy for all countries.

His remarks come at a time when both India and US officials have hinted that the countries are almost on the verge of finalising a trade deal. Commerce minister Piyush Goyal on Thursday said that the first tranche of the trade deal between the two nations may be rolled out by September.

Tharoor sharpens sword on Trump

Tharoor also launched an attack on Trump, describing him as an “unusual president by every yardstick” who does not adhere to conventional standards of diplomatic behaviour.

“Have you ever heard of any world leader openly saying he deserves a Nobel Peace Prize? Or saying, ‘all the countries in the world want to come and kiss my ass’? This kind of language has never been heard from any head of government before,” he said.

Tharoor added that India should not be judged by Trump’s erratic behaviour.

“The tariffs have had a very, very negative impact on India. Many of our products have become unviable, and we have no choice but to tighten our belts and move on,” he said.

The Congress leader also highlighted the need to expand India’s trade and political partnerships. He pointed to the recent trade agreement with the United Kingdom as a positive step and suggested that India seek stronger ties with Europe, China, and Russia.

“We are showing serious intent to move away from confrontation with China, despite recent tensions, and our relationship with Russia has always been reasonably stable. It might even become warmer now,” he observed.

Calling for an “Indo-European pole” to boost India’s global standing, Tharoor stressed that India must diversify both its markets and diplomatic channels. “We can’t afford to sit there and say we have no other option,” he said.

Where do India-US ties stand?

Strains have emerged in India-US relations following President Donald Trump’s decision to impose a 50 per cent tariff on Indian goods, doubling the levy as a penalty for New Delhi’s purchases of Russian oil.

But the past week has brought a softer tone. Trump assured that he would “always be friends” with Prime Minister Narendra Modi – a sentiment PM Modi said he “fully reciprocated.”

Earlier this week, Trump announced that his administration would continue talks with India to resolve “trade barriers” and said he looked forward to speaking with his “very good friend” Modi in the coming weeks.

Trump’s pick for the next American ambassador to India, Sergio Gor, on Thursday echoed the sentiment saying that India and the US are not that “far apart” on a tariff deal.

“We’re not that far apart on a deal already on these tariffs… Getting India to stop buying Russian oil is a top priority for this administration,” he said at his Senate confirmation hearing.

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