August 2025 – Delhi Chief Minister Arvind Kejriwal has called on the Indian government to impose a 100 per cent tariff on goods imported from the United States. The statement comes after the Trump administration announced 50 per cent duties on several Indian exports, including textiles, leather, and select agricultural products.
Mr. Kejriwal criticised the Union Government for what he described as a favourable stance towards American producers, particularly the recent waiver of import duties on US cotton. He said the decision was detrimental to Indian farmers and the domestic textile industry.
“The United States has unilaterally imposed high tariffs on Indian products. At the same time, our government has reduced duties on American cotton. This harms our farmers and weakens India’s negotiating position,” Mr. Kejriwal said at a press briefing. He suggested that India should adopt a retaliatory measure of 100 per cent tariffs to protect national interests.
The US administration justified the tariffs as necessary to correct trade imbalances and safeguard domestic industries. Trade analysts have expressed concern that the move could strain India–US economic relations, affecting not only exports but also other sectors such as pharmaceuticals, IT services, and agriculture.
The Union Government has defended the cotton duty waiver, stating that it was aimed at ensuring supply stability for Indian textile mills. Officials said that discussions with Washington were ongoing to resolve trade disputes through dialogue rather than confrontation.
Opposition parties have supported Mr. Kejriwal’s proposal, emphasising the need for strong government action to protect Indian exporters and farmers. Several leaders stated that domestic interests should take precedence over concessions to foreign suppliers.
Economic experts noted that implementing a 100 per cent tariff on American goods could increase costs for machinery, raw materials, and agricultural products, potentially impacting Indian businesses and consumers. However, they acknowledged that such a measure could also strengthen India’s position in negotiations.
The latest developments have intensified debate over India’s trade strategy with the United States. While the Trump administration seeks to protect its industries through tariffs, Kejriwal’s demand underscores domestic calls for a firm response. Observers say the coming weeks will be crucial in deciding whether India chooses retaliation or continued engagement to manage bilateral trade relations.
