Donald Trump is back as USA President - That's Both Good and Bad for India
With donald trump becoming the U.S. President again, his foreign policy stance could prove beneficial to india in certain strategic ways, but it would also bring new challenges, especially in trade. trump has historically supported a robust U.S.-India partnership, viewing india as a key player in maintaining regional stability in the Indo-Pacific.
During his previous term, he initiated major defense agreements with india and reinvigorated alliances like the Quad, a group formed to counterbalance China's growing influence. His firm stance on china data-aligns well with India's interests, as both countries view China’s territorial assertiveness as a threat. trump is likely to maintain a similar stance on china, which would enhance India’s strategic security and strengthen the India-U.S. defense relationship further.
However, Trump’s approach to U.S.-India relations also brings a unique angle on political matters. American leaders have historically voiced concerns over democracy, human rights, and religious freedoms in india, which New delhi sometimes perceives as interference in its domestic affairs. trump, however, rarely criticized india on these fronts during his presidency.
However, Trump’s approach to U.S.-India relations also brings a unique angle on political matters. American leaders have historically voiced concerns over democracy, human rights, and religious freedoms in india, which New delhi sometimes perceives as interference in its domestic affairs. trump, however, rarely criticized india on these fronts during his presidency.
For instance, when india removed article 370 in kashmir in 2019, trump refrained from commenting on the matter, which marked a departure from the traditional U.S. diplomatic approach. A renewed trump presidency might continue this hands-off approach, reducing the friction often associated with American lectures on India’s internal politics.
Trade, however, could be a contentious area under Trump’s leadership. Known for his protectionist policies, trump has openly criticized India’s high tariffs on American goods, which he believes unfairly disadvantage U.S. businesses. He has suggested a broad 20% tariff on all imported goods, which, if implemented, could affect India’s economy by limiting its exports to the U.S. and possibly reducing its GDP growth by a small margin.
Trade, however, could be a contentious area under Trump’s leadership. Known for his protectionist policies, trump has openly criticized India’s high tariffs on American goods, which he believes unfairly disadvantage U.S. businesses. He has suggested a broad 20% tariff on all imported goods, which, if implemented, could affect India’s economy by limiting its exports to the U.S. and possibly reducing its GDP growth by a small margin.
Additionally, Trump’s proposed 60% tariff on Chinese imports could trigger a destabilizing trade war, with ripple effects across global markets that would impact India’s economy as well. While india appreciates the diplomatic and strategic support from trump, the potential economic setbacks and trade tensions represent a difficult balancing act for indian leaders if trump were to regain office.