US Tariffs Put Modi Government’s Foreign Policy to the Test

New Delhi / Washington (Web Desk) — Rapid changes in the global landscape and growing US trade pressure have placed India’s energy policy and foreign relations under significant strain.

Despite tensions in the Gulf region and international sanctions, the Modi government continues to face criticism at home and abroad for maintaining large-scale imports of Russian crude oil.

According to international news organization Al Jazeera, a new bill introduced in the US Senate has raised the possibility of tariffs of up to 100 percent being imposed on India.

US Senate Bill and Senator Richard Blumenthal’s Position

The proposed US legislation is primarily aimed at countries that continue to support Russia’s economy through large-scale energy purchases.

US Senator Richard Blumenthal criticized India’s policies and said:

“Because of the Modi government’s unbalanced and unsuccessful foreign policy, India is among the countries most exposed to possible US legislation and tariffs. New Delhi has failed to strike a balance between energy security and the risk of American trade restrictions.”

Indian Foreign Ministry’s Response

According to a report by Indian news outlet WION, Indian Ministry of External Affairs spokesperson Randhir Jaiswal acknowledged during a media briefing that continued imports of Russian oil and mounting international pressure are creating economic complications for India.

Economic Impact and Pressure on the Indian Rupee

• Decline in the Rupee’s Value: Concerns over possible US sanctions and tariffs have increased pressure on the Indian currency.
• Risk of Higher Inflation: Pressure on energy imports could make daily life more expensive for ordinary Indian citizens.

Economists Warn of a New Inflationary Shock

Indian energy, oil, and gas expert Kirit Parikh stated:

“If US tariffs and sanctions are imposed, structural pressure on the Indian rupee will increase further. This could lead to a sharp rise in the prices of petroleum products and other essential goods, placing the greatest burden on ordinary Indian citizens.”

Observers say the Modi government is finding it increasingly difficult to maintain a balance between Russia and the United States. They argue that India’s current foreign-policy approach could create serious economic challenges for the public.