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U.S. Commerce Secretary Howard Lutnick has issued a stark warning to India, cautioning that trade relations between the two countries could face serious challenges if New Delhi refuses to lower tariffs.
Speaking in an interview on Saturday, Lutnick accused India of maintaining an unfair trade imbalance. While India enjoys open access to American markets, he argued, it restricts U.S. exports with heavy duties, refusing even to import modest quantities of American agricultural products such as corn.
“India boasts about its 1.4 billion people,” Lutnick remarked, “but why can’t those 1.4 billion buy even a single bushel of U.S. corn? They sell us everything, yet their markets remain closed to us. Doesn’t that bother you?”
According to him, the relationship has become “one-sided,” with India taking advantage of America’s open economy while protecting its own through tariffs. “They block us from entering their economy, yet they enjoy full access to ours. That is not a fair partnership,” Lutnick said.
The Commerce Secretary reinforced President Donald Trump’s stance that India must reduce its tariffs if it wants to maintain healthy trade relations with Washington. “The President’s position is clear: cut tariffs, treat us the way we treat you, or face the consequences,” Lutnick noted.
He stressed that years of what the U.S. sees as unfair trade practices can no longer continue unchecked. As part of its response, the Trump administration has already imposed steep tariffs on India, including a 50 percent levy on certain goods. This also includes a 25 percent duty tied to India’s discounted oil purchases from Russia—a move Washington argues indirectly aids Moscow in its ongoing war in Ukraine.
Lutnick insisted that reciprocal action is unavoidable until India changes its policies. “We must correct this imbalance with counter-tariffs. That is the model the President has set. Either accept it or risk difficulties in doing business with the world’s largest consumer market,” he said.
The comments underline Washington’s growing frustration with New Delhi’s protectionist policies. While India has long defended its tariffs as a safeguard for its domestic industries and farmers, the U.S. argues that such barriers hurt fair competition and undermine the spirit of trade partnerships.
Observers note that tensions between the two nations have been mounting over trade and energy policies, even as both countries maintain strategic ties in areas like defense and technology. The latest warning signals that unless India reconsiders its approach, trade disputes could overshadow broader cooperation.
Lutnick’s remarks highlight the challenge of balancing economic nationalism with international partnership. For India, reducing tariffs could open its vast market to American producers but may also trigger domestic political backlash. For the U.S., maintaining pressure is seen as necessary to ensure fairness for its exporters and to uphold its global trade agenda.
As the world’s largest democracy and one of the fastest-growing economies, India remains a vital partner for Washington. Yet the U.S. message is clear: without tariff reforms, the future of bilateral trade may be at risk.
repoter

