Congress MP Shashi Tharoor vehemently rejected U.S. President Donald Trump’s claim that India’s economy is “dead,” following Trump’s announcement of a 25 percent tariff plus penalties on Indian imports, effective August 1. Trump’s remarks, made on Thursday, linked the tariffs to India’s high duties on U.S. goods and its purchase of arms and oil from Russia, which he also labeled a “dead economy.”
“I don’t care what India does with Russia. They can take their dead economies down together,” Trump stated, escalating trade tensions. Tharoor, responding on Friday, dismissed the claim, saying, “Absolutely not, everyone knows it.” Earlier, he described the tariffs as a “serious matter,” warning that combined with potential penalties, duties could reach 35-45 percent, or even 100 percent, risking severe damage to India’s exports to the U.S., a key market.
Contrarily, Congress leader Rahul Gandhi endorsed Trump’s view, stating, “Everybody knows the Indian economy is a dead economy, except the Prime Minister and Finance Minister.” Gandhi’s remarks drew a sharp contrast with Tharoor’s defense, highlighting internal party differences.
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Trump’s tariff decision, announced via Truth Social, criticized India’s high tariffs and its status as “Russia’s largest buyer of energy, along with China.” As trade negotiations continue, Tharoor expressed hope that the duties might be reduced, cautioning that failure to do so could significantly harm India’s export-driven economy.
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