Leader of the Opposition in Lok Sabha, Rahul Gandhi, has come under intense political fire after endorsing US President Donald Trump’s remark calling India a “dead economy”. His statement has left him politically isolated, with senior Congress leaders, opposition allies, and even prominent public figures rejecting Trump’s comments and distancing themselves from Rahul’s endorsement.
The controversy erupted after Trump, in a post on his social media platform Truth Social, accused India and Russia of having “dead economies”, linking his criticism to their trade relationship. “Let them go down together with their dead economy,” Trump wrote. He also took aim at India’s tariffs and dismissed the scale of Indo-US trade, remarking, “We only have a small business deal with India… Their tariffs are very high..”
Rahul Gandhi, in a statement that publicly agreed with Trump’s claim. “Yes, he is right. Everybody knows this except the Prime Minister and the Finance Minister. Everybody knows that the Indian economy is a dead economy. I am glad that President Trump has stated a fact… The entire world knows that the Indian economy is a dead economy. BJP has finished the economy to help Adani,” Rahul declared.
#WATCH | Delhi: On the US President Trump's dead economy remark, Lok Sabha LoP and Congress MP Rahul Gandhi says, "Yes, he is right, Everybody knows this except the Prime Minsiter and the Finance Minsiter. Everybody knows that the Indian economy is a dead economy. I am glad that… pic.twitter.com/n7UWXrgggW
— ANI (@ANI) July 31, 2025
However, instead of rallying behind their leader, Congress veterans and allied parties offered no support. Several prominent voices not only rejected Trump’s assertion but subtly reprimanded Rahul for parroting a foreign leader’s negative portrayal of India.
Senior congress leader and MP Shashi Tharoor took a nuanced approach, acknowledging the seriousness of the US-imposed tariffs but countering Trump’s claim. “It’s a very serious matter for us. A 25% tariff, plus an unspecified penalty for our buying oil and gas from Russia, could take the total up to 35-45%. There’s even talk of a 100% penalty, which would destroy our trade with America,” he said. However, Tharoor made it clear that India has alternatives: “We are in talks with the European Union, we have signed a trade agreement with Britain, and we are exploring other global markets. We are not without possibilities.”
Tharoor also cautioned against succumbing to American pressure, underscoring that India has its own economic strengths. “American goods are not priced competitively enough to sell in India. Our average tariffs are around 17%, not unreasonable. America must understand our developmental needs as well.”
#WATCH | Delhi | On the US President Trump's dead economy remark, Congress MP Shashi Tharoor says, "It's a very serious matter for us… 25, plus an unspecified penalty for our buying oil and gas from Russia, it could take it up to 35-45… There's even talk of a 100% penalty,… pic.twitter.com/1OvByw4E2X
— ANI (@ANI) July 31, 2025
Congress Rajya Sabha MP Rajiv Shukla was more direct in rejecting both Trump and Rahul’s take. “Our economy is strong. Economic reforms were initiated under Prime Ministers Narasimha Rao and Manmohan Singh, furthered by Atal Bihari Vajpayee, and strengthened again under UPA II. The current government has also made notable contributions. If anyone believes that India can be economically destroyed, it is a delusion. Trump’s remark is based on misconception,” said Shukla, firmly defending the resilience of the Indian economy and national interest.
Rahul’s remarks also drew sharp rebuke from allies like the Shiv Sena (Uddhav faction). MP Priyanka Chaturvedi lashed out at Trump’s arrogance and came to India’s defence. “India is one of the top five economies in the world. Trump is known for his bluster and arrogance. His comments should not be taken seriously,” she said, in stark contrast to Rahul’s validation of Trump.
Meanwhile, the Bharatiya Janata Party (BJP) wasted no time in hitting back. The party accused Rahul Gandhi of not only echoing a foreign leader’s anti-India rhetoric but also of undermining national morale. BJP IT Cell head Amit Malviya said, “Rahul’s statement is an insult to 140 crore Indians who are working hard to make India stronger. He is quick to speak against India on international platforms just to criticise PM Modi.
The business community too expressed outrage at Rahul Gandhi’s comments. Prominent industrialist and commentator Suhel Seth strongly criticised the Congress leader. “I am amazed at how Rahul Gandhi, the Leader of India’s Opposition, sitting in our Parliament, hates India so much that he calls our economy ‘dead’. His bitterness towards PM Modi has now turned into a dangerous loathing for India itself. He needs serious counselling,” Seth said.
Drawing a sharp comparison, Seth added, “I place Rahul Gandhi and Donald Trump in the same intellectual bucket. Neither seems to know what they’re talking about. To misquote Robert Frost, ‘they don’t even know which paths they would take.’”
#WATCH | Delhi | "I am amazed how Rahul Gandhi, the Leader of India's Opposition, sitting in our Parliament, hates India so much by calling the Indian economy a dead economy. This man's self-loathing has become unbearable… His bitterness and anger against PM Modi has become an… https://t.co/VqLVgV4FuZ pic.twitter.com/vKEe1R4I4B
— ANI (@ANI) July 31, 2025
“Donald Trump is an unhinged rogue, who has no understanding of either economics or political discourse… Most Americans are suffering because of his presidency. He is essentially a bully, and a bully is almost always a coward. He is not interested in any bilateral relationship or global order… If Trump believes that imposing penalties will bring India to its knees, he is wrong… Yes, there will be some trouble, but it will not wreck us as he imagines. The stock market is a reflection of that. The markets today did not even care about Trump’s nonsense. I am glad that PM Narendra Modi is not succumbing to this level of bullying, this level of cowardice, and this level of pathetic relationship building. Look at the language that Trump uses,” he further said.
As the backlash grows, Rahul finds himself isolated once again, not just from the ruling party, but from his own colleagues and allies, raising serious questions about his political judgement and commitment to national interest.
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