Former US Assistant Secretary of State Nisha Biswal has downplayed President Donald Trump’s recent threat to impose a 25 per cent tariff on Indian imports, calling it a “negotiating tactic” rather than a sign of deteriorating ties between the two nations.
In an interview with ANI, Biswal stated that despite Trump’s aggressive tone, he remains “open to negotiations with India,” and that discussions on a phase one trade deal had been underway for several months and were close to finalisation.
“What was left was for there to be some leader-level agreement,” she said, suggesting that the tariff threat is an attempt to push the deal across the finish line. She described the pending deal as “unprecedented,” noting the absence of any significant bilateral trade architecture between India and the US until now.
Earlier in the day, Trump posted on Truth Social that India would face a 25 per cent tariff and an additional penalty starting August 1, citing India’s high tariffs, restrictive trade practices, and its continued defence and energy ties with Russia.
“India will therefore be paying a tariff of 25%, plus a penalty… Thank you for your attention to this matter. MAGA!” Trump wrote, accusing India of being Russia’s largest energy buyer and major arms importer.
Biswal acknowledged this shift in tone, pointing out that Trump’s stance reflects “less accommodation” of India’s legacy ties with Russia than that of the Biden administration. “You are going to see a maximal pressure approach from the president until a deal is reached,” she warned.
India has signalled readiness to retaliate, with concerns that rising tariffs could disrupt trade. However, Biswal urged restraint, warning both sides to avoid a “tit-for-tat” escalation and keep dialogue open.
“It is in India’s interest to maintain a strong trading relationship with its largest partner, the United States,” she said. “Walking away from the table would be a mistake.”
Drawing comparisons with Trump’s tough negotiations with allies like the UK, Japan, and the EU, Biswal noted that those talks eventually led to more stable agreements. She urged Indian policymakers not to misinterpret Trump’s combative rhetoric as a lack of commitment to the strategic partnership.
“The temptation in India to say ‘we can’t count on the US’ is understandable—but avoidable,” she said, cautioning that failure to keep talks on track could snowball into a much bigger issue.
Despite the tensions, Biswal emphasised that the US and India still have a long way to go in countering strategic competitors—particularly China—and that the broader bilateral relationship remains strong.
