India’s middle-power strategy won it a reprieve from Trump’s sky-high tariffs

Subscribe to enjoy similar stories. When Canadian Prime Minister Mark Carney declared at Davos that middle powers should deepen their economic ties to navigate the era of great-power politics, India was already showing how it was done. After President Trump imposed 50% tariffs on India’s exports to the U.S., among the highest in the world last year, New Delhi powered ahead on trade deals with other economies, strengthening its hand in negotiations with the U.S.

On Monday, Trump said he was cutting tariffs on Indian products to 18%. India’s strategy gives middle powers a potential playbook for resisting pressure from the U.S., and other major economies, on trade and security. As well as making deals with the U.K.

and the European Union, and scheduling trade talks with Canada, India ignored insults from the White House and offered up extra concessions to bring the Washington back to the table. “They course-corrected very quickly," said Ashok Malik, chair of the India practice at the Asia Group strategic advisory firm. On the U.S.

side, Trump dispatched his close aide Sergio Gor as ambassador to India in January, which some political experts saw as a chance to reset U.S.-India relations. Gor promised in his first public remarks in January that the trade deal was coming. Back in July, New Delhi thought it was on the brink of a U.S.

trade deal, but by the end of the month, the Trump administration said India hadn’t done enough to lower trade barriers and singled it out among purchasers of Russian oil. Trump accused India of indirectly funding Russia’s war machine and punished it with 25% tariffs on top of 25% reciprocal tariffs. The levies, which took effect in August, contributed to broader uncertainty about the risks of